Lowe later stated that there are many unavoidable problems with individual funds, and investors almost always choose the official currency supported by the country. However, this illustrates the need for controls as the private sector develops the concept of empowering the Australian dollar to link to a stable currency.
Lowe defined his application of encrypted government activities as primarily intended to protect customers and prevent criminal conduct, including financial fraud. Individual funds, he said, will never gain the public acceptance that official currencies have.
Philip Lowe:
In the end, the private sector will be more innovative than central banks and will be better equipped to innovate and design these currencies. Central banks may also have to create a digital currency system at very high cost. I feel like the private sector will be better able to manage these costs.
In a related development, the Australian government recently indicated that a rule book framework is the best way to deal with crypto risks. His goal is not to regulate digital currencies directly, but to control cryptocurrency exchanges.
