Gold Coast will consider the possibility of using cryptocurrencies by taxpayers
The fall of the cryptocurrency market, observed over the past six months, does not frighten Australian officials. Gold Coast Mayor Tom Tate suggests exploring the possibility of using digital currencies to pay taxes in the future.
According to the Australian Broadcasting Corporation, the Gold Coast expects the most severe tax rate increase in the last decade (by 4% or more). According to Tom Tate, the engagement of a private sector chief investment officer and active implementation of innovations, including the use of cryptocurrencies, will help strike a balance. However, further research is required to make any decisions.
Blockchain Australia supports possible innovations
The industry organization Blockchain Australia, which has repeatedly stated the unwillingness of the Australian authorities to participate in a dialogue on the implementation of blockchain technologies, positively assessed this perspective.
According to its chairman Adam Poulton, digital currencies are just another form of money, the exchange rate of which is pegged to the Australian dollar. He noted that using Bitcoin as a means of payment requires only software and a few apps, but before making a final decision, the council should evaluate the possible risks.
Given the volatility in the crypto market, the optimal solution at the initial stage would be to pay 95% of bills in Australian dollars and 5% in digital currencies. Adam Poulton said that these 5% could be risked at the start. After receiving the first results, other possible options for using cryptocurrencies can be explored.
Speculative investment
Associate professor at Griffith University’s Vallipuram Muthukkumarasamy believes that digital assets require more research and education as they are speculative investments. Despite the numerous opportunities that innovative technologies have, their implementation in large bureaucratic bodies is quite problematic.
Vallipuram Muthukkumarasamy calls digital currencies a “paradigm shift” and insists on studying them deeper. It should strengthen confidence on the part of the authorities and ordinary citizens.
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