Australia to Revamp Cryptocurrency Rules after FTX Collapse

Australian financial authorities will start talks with the cryptocurrency industry and aim to introduce rules for regulating exchanges next year after FTX collapsed last week, according to a report in the Australian Financial Review.

"These developments highlight the lack of transparency and consumer protection in the crypto market, which is why our government is taking action to improve the regulatory frameworks while still promoting innovation." a spokesman for Treasurer Jim Chalmers said in the report.

In addition, as many as 30,000 Australian investors have funds frozen on the FTX exchange, according to local investment advisory firm KordaMentha Pty, who are the administrators representing FTX’s Australian clients. FTX Australia, a subsidiary of FTX, had its financial services license suspended by the Australian Securities and Investments Commission on Wednesday.