December 2018 Newsletter
In this edition:
- Board President’s Report
- Parliamentary Friends of Blockchain
- ADCA Board
- Fellows of ADCA
- Bit Trade – First Aussie Exchange to do an Equity Crowdfund
- Welcome to our 5 New Members
Board President’s Report
Report by ADCA Board President, Ron Tucker, delivered at ADCA Annual General Meeting on 21 November 2018.
ADCA has had another very successful year in FY17/18.
Perhaps most importantly, the number of ADCA members grew from 48 on 1 July 2017 to 76 on 30 June, 2018 and is on track to exceed 100 by 30 June 2019. This is a tribute to the vibrant and diverse blockchain sector in Australia.
The year was also a very busy year with a number of significant initiatives delivered to support our mission of promoting the responsible adoption of blockchain technology in Australia.
Digital Currency Industry Code of Conduct
Two digital currency exchanges have now obtained full certification under the Australian Digital Currency Industry Code of Conduct – congratulations to BTC Markets and Independent Reserve. Most other exchanges are now well advanced in achieving certification through a formal external audit. Importantly, ADCA has now partnered with a bank that will provide banking services to the digital currency sector in Australia. Certification under the Australian Digital Currency Industry Code of Conduct is the threshold test for establishing a commercial banking relationship.
We have come a long way as an industry in delivering on our promise to meet or exceed best practice standards in alignment with the broader financial services sector and as recommended by the Senate Economic References Committee during the 2015 Inquiry into Digital Currencies.
New Anti-Money Laundering Provisions
April 2018 saw the commencement of changes to Australia’s Anti-Money Laundering and Counter-Terrorism Financing laws that formally extended AML/CTF obligations to the digital currency sector for the first time. ADCA was deeply involved with the Attorney-General’s Department and AUSTRAC in helping shape these new provisions to ensure that they are effective and can be efficiently implemented by Australian digital currency businesses. I am pleased to report that all ADCA member exchanges swiftly achieved registration with AUSTRAC. The strong and consultative dialogue with AUSTRAC continues.
Digital Currency Report
The final key initiative in the digital currency sector was the publication of a joint report in partnership with Accenture into the scale of the digital currency sector in Australia – How Big is Australia’s Digital Currencies Market? As hoped, the report estimate that the sector was at least $9B in 2017, helped galvanise conversations with banks and regulators and was a global first in getting such a clear picture of the digital currency sector.
Blockchain Trade Missions
ADCA partnered with AUSTRAC to lead successful Australian blockchain industry trade missions to the Consensus Blockchain Conference in New York and to the Wanxiang Global Blockchain Summit in Shanghai. In both cases, not only did the missions provide an opportunity to highlight Australia’s innovative blockchain sector but commercial deals were achieved for several mission participants.
In May, we also had the chance to support the Asian Development Bank on a mission to Manila. Seven Australian blockchain companies presented to ADB staff and established key connections in the region.
ADCA’s close and continuing partnership with Austrade was further strengthened with the signing of a formal Memorandum of Understanding at a ceremony in Shanghai attended by the Trade Minister, Steve Ciobo.
APAC Blockchain Conference
ADCA partnered with Quest Events to produce our 2nd Annual APAC Blockchain Conference in March. Attendance at the event grew from 120 in 2017 to 580 in 2018 cementing this conference as the premier blockchain community and networking event in Australia.
Key speakers at the conference included Greg Medcraft, former Chair of ASIC and now Director of Financial and Enterprise Affairs at the OECD, Lord Meghnad Desai of the UK House of Lords and Professor Emeritus at the London School of Economics and Dr Robert E Kahn, known as the ‘father of the internet” for his co-invention of the TCP/IP protocol.
ADCA revenue more than doubled in 2017/18 while growth in expenses was restrained to less than 20%. This has allowed a significant balance sheet improvement for the association and surplus funds are now being allocated to additional part-time resources to assist with the further growth of the Association.
I look forward to continuing success in 2018/19.
Ronald M Tucker
ADCA Board President
Parliamentary Friends of Blockchain
The 2nd Annual Blockchain Industry Reception for the Parliamentary Friends of Blockchain was held at Parliament House in Canberra on December 3rd.
Senator Jane Hume and the Hon. Matt Keogh MHR, co-convenors of the Parliamentary Friends of Blockchain hosted an Industry Reception at Parliament House in Canberra. Over 70 members of the Australian blockchain community attended along with more than 30 members of Parliament and their staff.
Senator Hume and Mr Keogh acknowledged the diversity and exciting innovation represented by Australian blockchain businesses in attendance. Both emphasised the importance of bi-partisan support for initiatives to support blockchain innovation in both business and government service delivery.
Rob Hanson, Senior Researcher at Data 61, made a presentation summarising the key insights from his 2017 report examining the potential impact of blockchain technology by 2035. It was clear to all present that blockchain together with some other key enabling technologies can transform almost all aspects of our economy.
This theme was continued by ADCA CEO, Nicholas Giurietto, who emphasised that, while there are still some important technological issues to be resolved, the key obstacles to widespread adoption of blockchain technology are commercial and regulatory and require a focus on “blockchain thinking”.
Finally, Professor Jason Potts, provided insight into the core opportunity for blockchain enabled supply chain and trade facilitation processes that will drive a new wave of global integration and collaboration that he labelled Globalisation 2.0.
The event concluded with recognition of many of the newly appointed Fellows of the Australian Digital Commerce Association (see story below).
ADCA Board Appointments
The ADCA Board was expanded to 9 members in 2018 to give effect to decisions taken at the 2017 Annual General Meeting to broaden the diversity of the Board and more closely reflect the breadth of industry participants.
In particular, two new Directors – Cindy Nicholson of Optus and Richard McCarthy of Perpetual – were appointed to represent the corporate and advisory firms in the ADCA membership.
Two Board members also stepped down through the course of the year. Emma Weston of AgriDigital resigned in order to focus on her growing business and David Temple of Coinloft resigned when his business was sold earlier this year. Both Emma and David made a significant contribution to the growth of the Association and we thank them for their efforts.
Katrina Donaghy of Civic Ledger and Rob Allen of Nodl were appointed to replace Emma and David.
All Directors nominated for re-election to the Board at the 2017/18 Annual General Meeting held on 21 November and, there being no other nominations, were declared elected. One half of the elected Board members received a one year term running until the next AGM and the others received a two year term.
Finally, Nicholas Giurietto was re-appointed by the remainder of the Board to the role of CEO and Managing Director.
This means that the ADCA Board composition is now:
|Ron Tucker||1 Year Term||Representing the Fellows of ADCA|
|Leigh Travers||2 Year Term||Representing the Fellows of ADCA|
|Adrian Prezolzny||1 Year Term||Representing the Digital Currency Exchanges|
|Rupert Hackett||2 Year Term||Representing the Digital Currency Exchanges|
|Rob Allen||1 Year Term||Representing Blockchain Scale-Ups|
|Katrina Donaghy||2 Year Term||Representing Blockchain Scale-Ups|
|Richard McCarthy||1 Year Term||Representing Corporate & Advisory Members|
|Cindy Nicholson||2 Year Term||Representing Corporate & Advisory Members|
|Nicholas Giurietto||Until 30 June 2020||Appointed CEO and Managing Director|
Fellows of ADCA: Outstanding Achievers in the Blockchain Community
The ADCA Board appointed 31 members of the Australian blockchain community as inaugural Fellows of the Australian Digital Commerce Association.
The Australian blockchain community involves an increasing number of talented individuals combining passion and insight to help drive innovation in businesses and government. ADCA is delighted to acknowledge the outstanding contributions of a number of those individuals by appointing them as Fellows of ADCA.
ADCA’s Constitution allows for the Board to appoint Fellows of the Australian Digital Commerce Association who have “demonstrated a record of achievement in promoting the responsible adoption of blockchain technology by industry and governments across Australia as a means to drive innovation across all sectors of the economy.”
The Board has nominated 31 individuals as the inaugural Fellows of ADCA. Their achievements span a diverse range of contributions including technological innovation, business entrepreneurs, regulatory and policy leadership as well as innovation in the corporate sector.
Many of the inaugural Fellows of ADCA received official recognition of their appointment during the Industry Reception of the Parliamentary Friends of Blockchain at Parliament House in Canberra on Monday, December 3rd. The co-convenors of the Parliamentary Friends, Senator Jane Hume (Liberal, VIC) and Hon. Matt Keogh MP (Labor, WA) were also appointed as Honorary Fellows of ADCA in recognition of their support for the blockchain sector in Australia.
The Fellows of ADCA are eligible for election to the ADCA Board and collectively elect two members of the Board.
The full list of the inaugural Fellows of the Australian Digital Commerce Association is:
|Chris Cass||Forensic Principal||Deloitte|
|Aub Chapman||Principal||Aub Chapman Consulting|
|Karen Cohen||General Manager||Blockchain Centre|
|Susan Corbisiero||Senior Trade Commissioner||Austrade|
|Jarrod Crane||Co-Founder||BTC Markets|
|Lucas Cullen||Co-Founder & CTO||Civic Ledger|
|Paul Derham||Partner||Holley Nethercote|
|Nigel Dobson||Business Services Lead||ANZ|
|Scott Farrell||Partner||King & Wood Mallesons|
|Sophie Gilder||Head of Experimentation, Blockchain & Embedded AI||Commonwealth Bank|
|Hannah Glass||Senior Associate||King & Wood Mallesons|
|William Graham||Co-Founder||BTC Markets|
|Dr Jemma Green||Co-Founder & CEO||Powerledger|
|Victor Jiang||Founder & CEO||Sapien Ventures|
|Philip Joe-Low||Risk, Regulatory & Compliance Specialist||Vix Verify|
|Loretta Joseph||Director||Paradym Global|
|Sam Lee||Founder & CEO||Blockchain Global|
|Grantly Mailes||Co-Founder||Civic Ledger|
|Lasanka Perera||Co-Founder||Independent Reserve|
|Emma Poposka||Founder & Managing Director||Brontech|
|Giuseppe Porcelli||Founder & CEO||Lakeba|
|Professor Jason Potts||Director||Blockchain Innovation Hub, RMIT|
|Adam Poulton||Chair||Blockchain Australia|
|Dr Philippa Ryan||Barrister & Senior Lecturer||University of Technology, Sydney|
|Danielle Szetho||Founding CEO||Fintech Australia|
|Dr Jane Thomasson||Senior Global Advisor, Digital Transformations||Abt Associates|
|Emma Weston||Co-Founder & CEO||AgriDigital|
|Claire Wivell-Plater||Chair||The Fold Legal|
|Dr Liming Zhu||Research Director||Data 61|
Bit Trade – First Aussie Exchange to do an Equity Crowdfund
Bit Trade started five years ago with a mission: to make it easy and safe for Australians to buy and sell bitcoin. Now, as Australia’s longest running cryptocurrency exchange, they have a proven record of security, evolution, and innovation. They started one of Australia’s first blockchain consulting, Bit Trade Labs, and is a proud co-founder and platinum member of ADCA. More recently they’ve rebooted their platform, added a trading desk for higher value investors and institutions, and expanded their team to continue to empower individuals and organisations to trade digital currencies.
To help reach their goals, they’ve decided to do an equity crowdfund, enabling everyday Australian’s to invest in their business and join them in their next phase of growth. They want to empower people to achieve financial freedom, while allowing them to invest in a company and industry they truly believe in. From as little as $475, Australians can invest in their business and become a shareholder.
Recent changes to legislation will provide never-before-seen funding avenues for SMEs and startups. Bit Trade is proud to be part of the first group of businesses using this new funding option, and are looking forward to the boost this can provide many businesses as they raise capital for growth. They hope this inspires other businesses in the industry to explore the opportunity of equity crowdfunding and open up investment opportunities in this innovative industry to everyday Aussies.
Learn more about the equity crowdfunding offer at https://equitise.com/offer/regular/bit-trade-1-1
Like any investment, Crowd-Sourced Funding (CSF) is risky. Investors may lose their money and the business may not achieve its objectives. You should consider the CSF offer document and the general CSF risk warning contained in the offer document in deciding whether to apply under the offer.
For more on equity crowdfunding, click here.
Welcome to our new members
A warm welcome to our new members:
nodl Pty Ltd
nodl is a blockchain consultancy and technical services business focusing on applications of blockchain in the areas of sustainability and financial inclusion.
Secure Health Chain
We are a group of Australian Doctors that believe we can do things better. We are building Australia’s first blockchain based digital health record. It will be a secure and easily accessible place for all Australian’s to house their precious medical information. Secure Health Chain will integrate with most aspects of modern healthcare and will serve as a ‘single source of truth’ for all health-related data.
Sublime IP is verging on ancient by internet standards; established in 1995 with our roots going back further. We started as arguably the first ISP in Australia in 1989, later expanding to provide global server colocation services across 70+ countries, financial VPN services, trademark and intellectual property services, domain registry and web hosting. Our customers range from small businesses to global giants such as BHP and Hilton.
Till Payments is an emerging full-service, merchant-centric, payments management platform provider. Embracing IOT with an integrated artificial intelligence engine to provide an all immersive customer experience.