The financial world is always changing and evolving. Not all of the upcoming changes are for the better of consumers and corporations, however. In Australia, there is a plan on the table to prevent cash transactions of AU$10,000 and more. While some users fear this will impact cryptocurrencies as well, now is a good time to look at the industry in this particular country.
Australia’s War on Cash
There are dozens of countries around the world which are slowly eroding the use of cash. Although there are some arguments to be made as to why this is a smart decision, it also limits the financial power of everyone who ever pays for goods or services. It forces users to rely on banks and their internal systems even more than before, which is not always a good thing.
In Australia, there is a bill on the table which will impose numerous restrictions on how cash is used in this part of the world. The most intriguing aspect is how a limit of AU$10,000 will be imposed for cash transactions made or accepted by businesses for goods and services. Any transaction surpassing this amount needs to be completed through electric means or a cheque. That latter part is interesting, as cheques have become virtually obsolete in most countries by now. Even so, this bill has yet to be approved by the proper authorities before it will go into effect.
Minimal Impact on Bitcoin ATMs
It has become more than apparent Bitcoin ATMs are slowly making their mark on a global scale. Australia is no exception in this regard, although there are some caveats to take into account. While the country is home to 23 different Bitcoin Teller Machines, nearly half of them are located in Sydney alone. Melbourne comes in second place, followed by Adelaide, Brisbane, and Launceston. This leaves a large part of the country up for grabs, assuming anyone is looking to expand in this direction.
Moreover, this new cash limit should make virtually no difference for Bitcoin ATM operators. It seems unlikely anyone would buy over AU$10,000 worth of Bitcoin or altcoins in one go, although one can never discount such possibilities either. For now, it seems unlikely that this bill will cause any issues for operators in terms of handling cash acceptance, although that situation may change.
LocalBitcoins Volume Remains low
For those hopefuls who expect this cash ban to affect Australia’s LocalBitcoins trading volume, there may be another thing coming. Australia is not a region when a lot of AUD is converted to Bitcoin on a weekly basis. Despite some big spikes in late 2017, the volume has remained rather flat for several months now. With an average of just $1.1m in weekly transactions nationwide, this ban should not trigger any notable change in volume either.
Disclaimer: This is not trading or investment advice. The above article is for entertainment and education purposes only. Please do your own research before purchasing or investing into any cryptocurrency or digital currency.