Australia’s federal election next month could decide the future of crypto in the country, according to a call to action from Coinbase urging voters to back progress on digital asset reform.

John O’Loghle, Coinbase’s Managing Director for APAC, warned that despite soaring interest in digital assets, “Australia’s policy environment for crypto remains frustratingly vague and underdeveloped,” in a blog post on Monday.

“It’s now 2025, and we still don’t have clear rules to support innovation, protect consumers, and attract long-term investment,” O’Loghle said.

Coinbase outlined five urgent steps for the next government, including launching a crypto taskforce in its first 100 days, tackling the country’s worsening debanking problem, enabling stablecoin use, and providing tax clarity and startup support for Web3 builders.

While up to 31% of Australians have held crypto, placing the country among global leaders in adoption, regulatory paralysis is driving talent and capital abroad, the post said.

“Talented Web3 builders are heading offshore,” O’Loghle wrote. “Every day, we’re seeing local capital and talent flow to friendlier jurisdictions like Singapore and Dubai.”

O’Loghle cautioned that Australia risks losing its edge in Web3 innovation, noting it’s “unlikely the world’s next Coinbase or Circle will be founded in Australia,” not due to a lack of talent, but because the country “lacks the ambition and urgency to support them.”

The platform’s plea comes as Prime Minister Anthony Albanese’s government attempts to roll out a regulatory framework.

Australia's plan

In March, Treasury outlined plans requiring major exchanges to obtain Australian Financial Services Licences and issued guidance on stablecoin oversight and custody services. 

The agency also pledged to tackle debanking by working with banks to promote transparency and fairness, a practice Coinbase slammed as “treating everyday Australians like criminals.”

Meanwhile, new data from the Australia-based educational platform Digital Wealth Group offered insight into Australian crypto behavior. 

A poll of 696 members found only 9.9% held more than $195,000 (A$300,000) in crypto, despite 55% reporting household incomes over $97,500 (A$150,000).

“This suggests that even wealthy Australians aren't going all in on crypto—yet—they're still just dabbling,” the group said. Only 3% reported portfolios above $650,000 (A$1 million).

The crypto exchange’s statement comes just weeks after it was confirmed Australians will vote on May 3 in a tightly contested election. 

With Labor defending a slim majority, polls suggest either party could be forced to work with independents or minor parties to form government. 

While cost-of-living, housing, and healthcare dominate the campaign, Coinbase is calling for crypto to take a key place in the debate.

The exchange says the next government must move “beyond consultation and into legislation” as Australia “can’t risk falling further behind” in regards to crypto innovation.

Edited by Sebastian Sinclair