Australia Must Embrace Blockchain Now, Urges MP

Australian Parliament Member Andrew Charlton stated that blockchain technology has the potential to boost the economy by $60 billion and counteract stagnating productivity growth.

Charlton, speaking at Australia's Blockchain Week 2024 in Sydney on June 11, highlighted that the country's productivity growth was a "reasonably healthy" 2.1% in the 2000s but has since declined, failing to sustain basic living standard increases.

"Without productivity growth, there is no sustained pathway to higher wages or higher living standards," Charlton asserted, advocating for increased blockchain adoption. "We need this more than ever before." According to Australia’s Productivity Commission, labor productivity grew by only 0.9% in the final quarter of 2023.

Charlton, regarded as a pro-crypto politician, compared the potential economic impact of blockchain to transformative technologies like air travel, automobiles, silicon chips, and the internet. Speaking to digital asset executives, he emphasized that blockchain has the "rare ability" to enhance not only its industry but several others, including healthcare record management, tax collection, real estate, and voting. He noted that it could also improve supply chains with real-time transparent tracking and revolutionize financial transactions by reducing intermediaries and transaction times.

"With the right settings and regulations, the digital assets sector could add up to $60 billion per year to the Australian economy," Charlton said. However, he expressed disappointment with the Australian government's slow progress in developing digital asset regulation.

"We have the strength to be a leader in responsible digital asset innovation," Charlton said. "But the truth is, at the moment, we’re not capturing this opportunity."

Australia has yet to pass any crypto-specific laws, and Charlton hopes for a regulatory framework allowing Australian businesses to hold digital assets like traditional assets. "If we get this right, Australia has the opportunity to be a leader in responsible digital asset innovation," he stated. Charlton pointed to Singapore, Europe, Hong Kong, the UAE, and the UK as examples of regions leading in digital asset legislation.

He also addressed Australia's tech skills shortage, noting the country's recent struggles to attract more digital asset startups.