OKX urges ASIC against overreach on crypto assets, stablecoins
The global crypto platform backs a licensing regime for exchanges and digital wallets but has warned against any moves to directly regulate underlying digital assets like stablecoins.
Global crypto exchange OKX is urging the government to refrain from directly regulating digital assets like stablecoins but has welcomed draft legislation that introduces financial licensing arrangements for products like digital wallets or exchanges that hold assets for customers.
OKX Australia chief executive Kate Cooper told Capital Brief that targeting the tokens themselves would add an unnecessary regulatory burden, particularly for under resourced startups developing new digital assets or technologies without common classifications.
The crypto exchange, which already has an Australian Financial Services Licence (AFSL), is supportive of the proposed licensing requirements for "digital asset platforms" and "tokenised custody platforms" led by Treasury. However, the setting of minimum regulatory standards relating to asset holding, transactional and settlement functions, among others, have been left to ASIC to define.
But Cooper has expressed concerns that the two government arms may have inconsistent approaches to regulating the digital assets sector.
