A new report from the Digital Finance Cooperative Research Centre (DFCRC) warns that Australia could unlock 24 billion Australian dollars ($17 billion) annually from advances in tokenized markets and digital assets, but only if lawmakers move forward with clear regulation. The report, titled "Unlocking Australia’s $24b Digital Finance Opportunity," was jointly produced with the Digital Economy Council of Australia and financed by crypto exchange OKX.
The DFCRC identifies regulatory uncertainty, coordination challenges, and limited pathways for scaling pilot projects as the biggest constraints facing the industry. Without substantial changes, Australia is projected to secure only 1 billion Australian dollars ($710 million) in economic gains from crypto by 2030.
To address these shortcomings, the report recommends establishing a regulatory sandbox for testing new technology, such as tokenized financial market use cases. This would foster ongoing collaboration between regulators and industry participants and improve licensing frameworks. Specifically, the DFCRC suggests deploying tokenized government bonds and a wholesale central bank digital currency (CBDC) within the sandbox to underpin the development of tokenized markets, collateralized lending, and related financial services.
The estimated $17 billion in annual gains would stem from efficiencies in three key areas: markets with broader investor access and deeper liquidity, tokenized money like stablecoins and CBDCs streamlining transactions, and the creation of more transparent and flexible assets. "Nearly half of the asset-related economic gains arise from enabling collateralized lending, repo, and invoice financing markets on tokenized rails, where smart contracts automate collateral management, margining, and settlement," the report states.
Kate Cooper, CEO of OKX Australia, emphasized the need for decisive action: "Long-term economic benefits will only be realised through clear regulatory frameworks and infrastructure built to institutional standards. That is how Australia strengthens trust, attracts capital and secures its place in the next era of global finance." The report positions Australia at a competitive crossroads, noting that jurisdictions like Singapore, the EU, and the UK are already advancing their own digital asset regulatory regimes.
