Kenne Michael 
The Australian government is in the process of instituting new regulations to promote the expansion of digital assets and ensure consumer safety.
Therefore, the Australian Securities and Investments Commission (ASIC) must issue a license for financial services to all crypto exchanges operating within the country.
Australian crypto exchange license registration requirement extends to digital-asset platforms holding more than A$5 million ($3.2 million) in assets or A$1,500 for individual users.
Meanwhile, the proposed regulatory framework seeks to bring stability and accountability to the Australian digital asset market by building on existing laws.
In addition, these regulations will include stringent standards for custody and transactions.
Notably, these standards were influenced by regulatory models already in place in the United Kingdom, Canada, and Singapore, all of which are recognized for their robust cryptocurrency frameworks.
The Australian regulatory drive for crypto exchange licenses reflects a global trend of increased oversight in the cryptocurrency industry.
Last year’s $1.5 trillion cryptocurrency market decline exposed vulnerabilities and hazardous practices, leading to the fall of prominent trading platforms.
FTX exchange is a notable example, led by Sam Bankman-Fried, who now confronts a multibillion-dollar fraud trial in the United States.
These incidents highlight the need for effective regulation to protect investors and the financial system as a whole.
Other nations are adopting measures to regulate digital assets in a comprehensive manner.
The United Kingdom is in the process of regulating cryptoasset activities, such as trading, lending, and storage, within the same regulatory framework as traditional financial services.
In Canada, businesses are required to adhere to stricter regulations, with an emphasis on customer asset segregation and a prohibition on offering margin or leverage.