Australia Eyes Blockchain to Boost Productivity

Australian parliamentarian Andrew Charlton says blockchain technology can boost the economy by $60 billion.

On Tuesday, Australian lawmaker Andrew Charlton told a group of digital asset professionals that blockchain technology could boost the economy by $60 billion and end three decades of sluggish productivity development.

According to Parliament Member Charlton, Australia’s productivity growth expanded at a “reasonably healthy” 2.1% in the 2000s. Still, it is currently insufficient to support even modest rises in living standards, as stated on June 11 during Australia’s Blockchain Week 2024 in Sydney.

Charlton stated that in support of more excellent blockchain implementation nationwide, “There is no sustained pathway to higher wages or higher living standards without productivity growth.”

“We need this more than ever before.”

Australia’s Productivity Commission reports that during the last quarter of 2023, labor productivity increased by just 0.9%.

According to Charlton, an Australian politician who is seen as pro-crypto, blockchain technology can boost economic growth in Australia, much like earlier generations of technologies like silicon chips, cars, airplanes, and the internet.

According to Charlton, it possesses a “rare ability” to enhance its own business and several others. He mentioned applications in real estate, voting, healthcare data management, and tax collecting.

Cutting out intermediaries and transaction times can also alter how financial transactions are handled. Finally, it can enhance supply chains by offering transparent, real-time tracking and delivery of goods.

“With the right settings and regulations, the digital assets sector could add up to $60 billion per year to the Australian economy.”

However, Charlton took issue with the Australian government’s sluggish development of regulations about digital assets.

Charlton states, “We can lead the way in the innovation of responsible digital assets. “But the truth is, we’re not seizing this opportunity right now.”

Australia still lacks any regulations about cryptocurrency.

Charlton believes Australia should adopt a legislative framework to allow Australian enterprises to hold digital assets similarly to how they keep traditional assets.

“I believe Australia has the potential to be a leader in responsible digital asset innovation if we get this right.”

According to Charlton, the UK, Europe, Singapore, and Hong Kong are leading the way in enacting new laws that encourage the development of digital assets in the financial services industry.

The lawmaker said that he hoped the Australian government would address the country’s lack of IT talent, pointing out that it has recently needed help drawing in more businesses to create digital assets.