The Australian Government’s move to ban large cash payments from 1 July 2019 is a logical one. Governments around the world are constantly fighting against illegal activity which consists of avoiding paying tax and links to criminal activity which can arguably be much harder to detect when using cash as opposed to electronic methods of payment which provide a trail.
Some argue that this could open the door for Crytpocurrencies such as Bitcoin to play a role. Personally, I agree in principle with this direction. Bitcoin is a type of digital currency which enables the transfer and verification of transfer of funds operating independently of any central bank. This of course creates efficiencies cutting out the arbiter and leaves a clear trail provided adequate KYC controls where in place in the first instance.
Watch this space.
This article was inspired by “Could ScoMo’s cash ban be just what cryptocurrencies want?” from Australian FinTech. For full article, click here.