Australia Crypto Industry Urges Swift Action After Labor’s Election Victory

With the Australian Labor Party returning to power in a decisive victory on May 3, the country’s crypto sector is making an urgent appeal: Don’t waste the mandate—pass meaningful digital asset legislation before Australia falls further behind.

While both major political blocs acknowledged the need for crypto reform during the campaign, only the opposition had promised to deliver draft legislation within 100 days. Now, with Labor securing 54.9% of the two-party-preferred vote, industry voices are calling for immediate follow-through.

Binance’s head of global regulatory and APAC legal, Joy Lam, emphasized the need for urgency, noting that digital asset legislation has already been on the table for years. “It’s time to move beyond consultations. The global market is shifting fast, and Australia can’t afford to keep watching from the sidelines,” she said.

Coinbase’s APAC managing director John O’Loghlen echoed that sentiment, urging the creation of a Crypto-Asset Taskforce within the first 100 days of the new term. His goal? Draft legislation that balances consumer protection with innovation and halts the ongoing talent drain to better-regulated markets.

Global Momentum Leaves Australia Lagging

Australia is already trailing behind. The EU’s MiCA framework is active, U.S. stablecoin bills are advancing, and the UK just released its draft crypto rules. BTC Markets CEO Caroline Bowler sees the election outcome as a reset button. “This is a real opportunity to reposition Australia as a serious player in the global digital economy,” she said.

A statement from Treasurer Jim Chalmers’ office confirmed that exposure draft legislation will be released this year, with implementation phased in to avoid disruption. But Lam remains cautious, saying timelines have already slipped before. “Even if June is the goal, we need to see consistent momentum,” she warned.

Still, the industry sees signs of hope. A March policy statement hinted at a more mature approach from the government, focusing on licensing under the existing Australian Financial Services License (AFSL) regime and safe custody for client assets—while steering clear of the DeFi minefield for now.

Regulatory Sandboxes and Tokenization

Australia’s Enhanced Regulatory Sandbox is also under review, signaling a government open to fostering innovation without bureaucratic chokeholds. Tokenization, too, is on the agenda—a clear nod to future-facing trends in finance.

“This time around, it feels different,” Lam said. “There’s a better understanding of what’s at stake, and what needs to be done. The next few months will determine whether we lead—or continue to lag.”