Australian tokenization market could create $17B in annual value, report finds

The development of Australia's tokenization market and cryptocurrency sector has the potential to generate 24 billion Australian dollars (about $17 billion) in annual economic value, according to a study from the Digital Finance Cooperative Research Centre (DFCRC), Cointelegraph reported. The research center stressed that regulatory action from lawmakers is a prerequisite for the crypto industry to realize this economic potential. It identified regulatory uncertainty, difficulties in policy coordination, and a lack of clear pathways for scaling pilot projects as major obstacles. The DFCRC recommended introducing a regulatory sandbox to test new technologies like tokenized financial markets and improving the current licensing framework. It also suggested operating tokenized government bonds and an institutional central bank digital currency (CBDC) within the sandbox to support the tokenization market, collateral-based lending, and related financial services.