Table of Contents
MHC Digital Group Partners with Anchorage Digital for Crypto Custody in Australia
Key Developments:
- MHC Digital Group has entered into a partnership with Anchorage Digital, the only cryptocurrency firm authorised under a US federal banking charter, to provide regulated custodian services for Bitcoin (BTC) and other digital assets to Australian financial institutions.
- This collaboration facilitates Australian superannuation funds, family offices, and corporate entities with access to cryptocurrency assets in compliance with anticipated prudential standards emerging in Australia.
- Mark Carnegie, the founder of MHC Digital Group, has called for clearer regulations from Australian authorities, advocating for swift action in light of advancements seen in the U.S.
Carnegie’s firm, MHC Digital Group, aims to revolutionise the landscape of cryptocurrency investment in Australia through this strategic alliance with Anchorage Digital. By leveraging Anchorage’s regulatory framework, MHC will align client asset storage with the standards expected from Australian regulators.
According to a report from the Australian Financial Review, Carnegie highlighted that this partnership positions MHC ahead of the domestic regulatory landscape. He commented on Anchorage’s operational excellence, stating, “It is a first-class operator… the world’s changing because of crypto, and this change is inevitable.”
A Call for Regulatory Clarity
Carnegie emphasised a crucial turning point for Australia, suggesting that major banks in the country would undoubtedly alter their views on cryptocurrency once enduring regulations are established. He criticized the late response of Australian banks, including the big four—ANZ, Commonwealth Bank, and Westpac—who recently joined the Reserve Bank of Australia’s Project Acacia pilot. This pilot is experimenting with tokenised money, stablecoins, and bank-deposit tokens across various blockchain platforms.
He affirmed that recent legislative efforts in the United States regarding cryptocurrency assets—such as the GENIUS Act, which focuses on stablecoin regulations, and the Clarity Act, which seeks to define regulatory oversight between the SEC and the CFTC—serve as important milestones. Carnegie underscores that these developments should act as a “wake-up call” for Australia’s financially stagnant sector.
However, Carnegie expressed skepticism regarding the likelihood that the Australian government would proactively create legislation to meet the growing demand for crypto regulation.
Current Market Landscape
As the demand for cryptocurrency investment continues to swell—evidenced by the consistent rise in Bitcoin and altcoin prices—there remains a pressing need for regulatory frameworks to support this burgeoning interest. Bitcoin is currently trading at approximately US$118,000 (AU$178,000), a slight dip from its all-time high of US$122,800 (AU$185,030) achieved recently.
Conclusion
The partnership between MHC Digital Group and Anchorage Digital signifies a pivotal moment for the cryptocurrency sector in Australia. With Mark Carnegie advocating for decisive regulatory advancements, the landscape for digital assets could soon become clearer, fostering an environment conducive to growth and innovation. As institutional interest escalates, the imperative for robust regulatory frameworks becomes increasingly evident, positioning Australia to capitalise on the global digital asset surge.
In light of international developments and local pressures, one can only anticipate how Australian authorities will respond to the call for change in the evolving financial landscape.
