Australian 40-Year Economic Report Highlights AI but Omits Crypto

Australia identifies AI as a key driver for the next 40 years

The Australian Treasury has released its latest Intergenerational Report, a document that looks at the country’s economic outlook over the next 40 years. The report names artificial intelligence (AI) as one of five major transitions that will reshape the nation’s economy. However, the report does not mention cryptocurrency or digital assets.

The Treasury described AI systems as becoming more capable and autonomous. It noted that these systems now perform better than humans in certain areas. Despite this focus on new technology, crypto was left out of the long-term plan entirely.

Major shifts expected in the Australian economy

• Artificial intelligence is expected to significantly change how people work and produce goods.
• An aging population will place new demands on the economy and government services.
• The country is shifting toward clean energy and away from traditional power sources.
• Geopolitical conflicts and a move toward service-based industries are also listed as major factors.

Industry leaders highlight missing financial infrastructure

John O’Loghlen, the country director for Coinbase Australia, noted that while the report focuses on AI, it ignores the financial systems those AI agents will need. Coinbase is a platform where people can buy and sell digital currencies. O’Loghlen argued that autonomous AI systems will eventually require digital financial infrastructure to handle transactions.

He suggested that Australia needs to focus on clear rules for stablecoins and tokenized markets. Stablecoins are digital assets designed to keep a steady value, usually tied to a traditional currency like the dollar. Tokenized markets involve representing real-world assets as digital tokens on a blockchain, which is a shared digital ledger.

Official views on digital finance innovation

While the 40-year outlook ignored crypto, other government documents have addressed it. A separate "Financial Innovation Strategy" released by the Treasury on September 3 discussed how AI could increase the need for automated payment systems. These systems would allow machines to send money to other machines in real time.

The Reserve Bank of Australia has also shown interest in tokenized finance and upgrades to financial infrastructure. Additionally, the Digital Finance Cooperative Research Centre estimated that digital finance innovations could add 24 billion Australian dollars ($17.1 billion) to the economy every year.

What happens next for Australian crypto rules

Industry experts are looking for more regulatory clarity. Australia has already made some progress with its Digital Asset Platform framework. The next steps may involve creating rules for stored-value facilities for stablecoins to ensure the country is ready for future digital finance needs.

Sources

• Cointelegraph

Read also: Australia's PM warns of AI's 'furious pace' after OpenAI agent breached a government site