Australia Considers Sector-Specific Codes for Addressing Banking and Crypto Scams

cryptonews.com:

The Australian Department of the Treasury is considering applying sector-specific codes and standards to banking and cryptocurrency scams as part of its proposed framework.

On November 29, a consultation paper titled “Proposed Scams Code Framework,” aimed at establishing a new framework for addressing consumer and business scams, was released by Australia’s Department of the Treasury. The proposal considers applying sector-specific codes and standards to address various types of scams, including those related to banking and cryptocurrencies.

The consultation paper suggests assigning mandatory industry codes for different types of scams, with a focus on key sectors such as banks, telecommunications providers, and digital communications platforms. Additionally, a category for “future sectors” is proposed, which would include cryptocurrencies, non-fungible tokens (NFTs), and related trading platforms and marketplaces.

The goal of the framework is to delegate clear roles and responsibilities to both government and private entities involved in combating scams. It emphasizes the need for measures to prevent, detect, disrupt, and respond to scams, along with the sharing of scam intelligence across and between sectors.

The Treasury’s proposal comes in response to the increasing prevalence of scams in Australia, with consumers and businesses reportedly losing at least $3.1 billion to scams in 2022—an 80% increase from the previous year. Despite existing initiatives to address scams, the government aims to enhance its efforts with the new framework.

The Treasury is inviting comments on the recently released consultation paper until January 29, 2024. The new framework seeks to enhance existing initiatives to address scams and improve