The new draft law developed by the Australian Government stipulates that people can apply 25200 U.S. dollars a large fine, or even 2 years imprisonment, if a higher amount of USD 10000 per transaction. If the bill is adopted, it is likely that the people will no longer be selected by traditional financial institutions to carry out their transactions, but will choose to do business in cryptocurrency, such as Bitcoin.
THE BANK SEEKS TO INCREASE ITS CONTROL
The Australian Reserve Bank, as a pre statement for accepting this bill for a cash limitation of USD 10000, has indicated the need to fight the hidden economy, not to get rid of cash. This bill was attended by many economists and even Libertarians (including Bitcoin supporters) who are concerned about the over-control and power that will be given to banks and authorities.
Matthew Lešs of the Australian Institute of Public Affairs stresses that the proposed ban on cash – currency (cash use restrictions) 2019. The draft law is “alarming violation of our rights to privacy”. He likened it to George Orwellian’s classic novel “1984”, which contains the message of Big Brother, who controls the citizens by constantly observing them.
“The purpose of the cash ban is to ensure the observation of digital transactions,” Lesh said. “This means that in the future you will only be allowed to make purchases that Big Brother can monitor and control.”
It should also be noted that according to the International Monetary Fund (IMF) data, Australia has no serious shadow economy problem: The country is the 10th smallest underground economy in the world, and its size almost halved from 1991 to 2015.
Moreover, as the Australian Citizens ‘ Election Council (CVK) pointed out, the stated pretender for this law, the fight against money laundering and tax evasion in the shadow economy, is a ‘ shameful lie ‘.
It is also underlined that a formal recommendation for the prohibition of cash comes from a global accounting firm KPMG; CVK considers this financial institution to be the real criminals, calling it ‘ the biggest contributors to the world’s money launderers and taxpayers ‘.
THE TRANSITION TO BITCOIN?
Many different critics of this bill are, of course, emphasising the shortcomings of traditional banking systems; The question also arises: If a bill is adopted, will Australians use a cryptocurrency like bitcoin?
People already have access to financial resources without restrictions: a smartphone and an Internet connection allow anyone to send or receive funds using Bitcoin anywhere in the world.
Moreover, cryptocurrency transactions allow an increase in financial freedom and no restrictions on expenditure incurred as long as users control their cryptocurrency addresses, no third party can withdraw these funds.
The Senate Inquiry Commission is required to report by 7 February 2020 on the “currency (cash use restrictions)” of 2019.