The Reserve Bank of Australia has released an investigative report on the Digital Assets Bill, which seeks to regulate cryptocurrency trading, custody services and the issuance of stablecoins.
“Stablecoin activity in Australia has been relatively limited to date, despite the potential for stablecoins to play a more significant role in the financial system in the future,” the bank wrote. “The RBA supports the development of stablecoin regulatory arrangements that support innovation while providing appropriate safeguards and protections for investors and users.”
The RBA also commented on central bank digital currencies, making it clear that no decision has been made on implementing a digital Australian dollar, but that it is "actively engaged" in research on CBDCs. The RBA noted that most countries that have issued CBDCs (the vast majority of which are Caribbean countries) use them to "improve the efficiency of domestic payment systems." (Blockworks)