Wayex Explains Why Aussies Should Take Note of Crypto’s Resurgence and Growing Legitimacy
Sydney, Australia — As Bitcoin surges past the $150,000 AUD mark, Australians are watching closely as global economic forces drive a renewed bull market for crypto. Key factors include the upcoming inauguration of U.S. President Donald Trump, who has signaled pro-Bitcoin policies, and China’s sweeping economic stimulus, which is creating a wave of optimism in global markets.
With the global cryptocurrency industry now valued at over $5.8 trillion AUD, Bitcoin and blockchain technology are no longer niche—they’re becoming integral to the future of finance.
United States: Leading the Charge with a Strategic Bitcoin Reserve
The United States is set to establish itself as a global leader in Bitcoin adoption, with multiple initiatives pointing to an official Bitcoin reserve:
• BITCOIN Act Proposal: Spearheaded by Senator Cynthia Lummis, the act aims to accumulate 1 million BTC over five years, valued at more than $18 billion AUD. While strongly supported by Republicans, bipartisan skepticism remains due to concerns over cost and public understanding of Bitcoin’s value.
• Trump’s Endorsement: President-elect Donald Trump has pledged to prioritize Bitcoin, proposing the creation of a Strategic Bitcoin Reserve within the Federal Reserve. This bold initiative could reshape the U.S. financial system and set a precedent for other nations.
• Regulatory Overhaul: Trump also pledged to remove SEC Chair Gary Gensler, whose administration has been seen as a major roadblock to crypto innovation. Upon this news, on November 21, 2024, Gensler resigned as SEC Chair. His replacement is expected to pave the way for clearer, more supportive crypto legislation.
“This level of commitment from the world’s largest economy is a clear signal that Bitcoin is becoming a legitimate, strategic asset,” said Luke Lombe, Director of Wayex. “Such moves will elevate Bitcoin’s status globally, and that of the entire blockchain industry, and Australia cannot afford to ignore these developments.”
Global Momentum: Bitcoin Reserves Gain Traction Worldwide
While the U.S. leads the charge, other nations are also exploring Bitcoin reserves to diversify their financial systems and bolster economic resilience:
• Brazil: The Sovereign Strategic Bitcoin Reserve (RESBit) bill proposes allocating 5% of national reserves to Bitcoin, stabilizing against currency fluctuations and geopolitical risks.
• Russia: Amid Western sanctions, Russia is exploring Bitcoin’s utility in international trade, with lawmakers advocating for a strategic reserve to reduce reliance on fiat currencies like the U.S. dollar and Chinese yuan.
• Switzerland: Citizens have initiated a proposal to mandate the Swiss National Bank to include Bitcoin in its reserves, leveraging the country’s crypto-friendly reputation.
• Emerging Interest: South Africa, Poland, Germany, Japan, Hong Kong, and Venezuela are also exploring Bitcoin reserves as a hedge against economic instability and a tool for financial independence.
China’s Stimulus Boosts Bitcoin’s Appeal
Meanwhile, China’s central bank is preparing a massive economic stimulus to revive its slowing economy, with anticipated interest rate cuts and infrastructure funding. Analysts predict this will result in significant capital outflows, much of which could flow into Bitcoin as a high-performing asset.
• China’s bond yields have hit record lows, prompting investors to seek alternatives.
• Crypto analysts, including Arthur Hayes of BitMex, believe China’s “stimulus bazooka” combined with U.S. policy changes will drive Bitcoin and crypto into a new bull market.
World’s Largest Fund Managers Back Bitcoin
The involvement of financial giants like BlackRock and Fidelity further underscores the growing legitimacy of Bitcoin as an investment asset.
• BlackRock’s Bitcoin Push: Larry Fink, CEO of BlackRock, the world’s largest asset manager with over $12 trillion AUD under management, has publicly embraced Bitcoin as a “flight to quality.” BlackRock’s Bitcoin ETF applications represent a major vote of confidence in the asset’s future.
• Fidelity Investments: Fidelity has integrated Bitcoin and crypto services into its offerings, enabling institutional clients to access and trade digital assets.
• Other Institutional Players: Companies like Vanguard and ARK Invest have also deepened their involvement in crypto, signaling widespread adoption among traditional financial powerhouses.
“Having institutions like BlackRock and Fidelity actively championing Bitcoin is a turning point for the industry,” said Lombe. “Their endorsement brings unparalleled legitimacy and access, particularly for conservative investors who have hesitated to enter the market.”
Key Facts:
Why More Australian Investors Are Turning to Crypto
Family offices and institutional investors globally are increasing their crypto allocations, and Australians are following suit:
• A recent report shows 33% of family offices are actively investing in cryptocurrencies, up from 16% in 2021, with many looking to increase their holdings.
• According to Coinbase Institutional, adding crypto to a portfolio significantly improves returns. For example, a portfolio with 5% crypto allocation delivered 67% returns, compared to 33.3% for traditional 60/40 portfolios.
“It’s no longer about if Australians should invest in crypto, but how much it should represent in their portfolio,” said Lombe. “This decision should reflect individual risk tolerance. Seeking proper financial advice or conducting thorough research is essential before investing.”
Australia’s Role in the Crypto Boom
The Australian crypto market is positioned to thrive, with investors gaining more access than ever to the rapidly growing $5.8 trillion AUD global crypto economy. Platforms like Wayex are helping Aussies navigate this space with:
• ETFs: Bitcoin and Ethereum ETFs approved in the U.S. have seen record trading volumes, and similar products are becoming more accessible to Australian investors.
• OTC Desks and Exchanges: Platforms like Wayex provide direct access to a wide range of cryptocurrencies and custody solutions.
• Crypto Funds: Managed funds like Pantera and Brevan Howard Digital offer diversification opportunities for those seeking professional oversight.
• Publicly Traded Companies: Investing in firms like Coinbase provides indirect exposure to crypto markets for more conservative investors.
Why Blockchain Matters Beyond Bitcoin
Blockchain technology is making waves in industries from finance to logistics, offering unmatched security, transparency, and efficiency:
• Governments are using blockchain for land registries and supply chain tracking.
• Blockchain is the backbone of Web3, which is reshaping how individuals and companies interact online.
Wayex: Leading the Charge for Aussie Investors
As Australia’s premier crypto exchange, Wayex is committed to empowering investors to navigate this exciting and fast-changing market. With tools like the Wayex Card, Wayex Earn, and Wayex OTC, we provide seamless access to the crypto economy.
“This is the Way,” concluded Lombe. “A diversified portfolio is the cornerstone of financial success, and crypto is becoming an essential part of that diversification. With the right balance, Australian investors can harness the growth of this evolving asset class.”
About us:
Wayex is the easiest way to buy, sell, spend, and withdraw cryptocurrency in Australia. With a user-friendly app and new web platform designed for both crypto novices and experts, Wayex lets you manage your crypto portfolio seamlessly. As the first native crypto Visa card in Australia, use your Wayex Visa card to spend fiat or crypto effortlessly, and take advantage of the New Payments Platform (NPP) to on and off-ramp instantly. Signing up, verifying, and making your first deposit or transaction can all be done in as little as 8 minutes. Revolutionise your crypto experience with Wayex— This is the Way!
Contact details:
Danielle Jarvis
Marketing Manager
danielle.j@wayex.com
+61 431 268 499
