Australia’s increased use of cryptocurrency and its increasing swing is a testament to how outstanding it remains. Even though it can be volatile, digital assets have seen more investments in this area.
Retail Employees Superannuation Fund Trust (Rest Super), is also joining in on the cryptocurrency investment train within the country.
The Australia Rest Super has indicated that it will invest in crypto-currency superannuation funds. This is a first for its kind. The entire sector of retirement funds has always been cautious with cryptocurrency.
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With about 1.8M members, Rest Super fund’s assets under management (AUM) are worth $46.8 billion.
All Australian employees are required to have superannuation. This is equivalent to a U.S. pension. Individual Retirement Account (401k).
Speaking on Tuesday during the annual general meeting of Super Rest Fund, Andrew Lill, the company’s Chief Investment Officer (CIO), acknowledged the volatility of such crypto investments. He said, however that they should allocate to this investment as part of diversifying the portfolio.
He stated that cryptocurrencies were an important investment area and would exercise caution when making decisions. However, the CIO stated that it is his belief that this investment will introduce members to digital assets as well as blockchain technology.
They could thus access a steady source of value during a time when people are more committed to crypto investments to fight fiat currency inflation.
Furthermore, another statement from a Rest spokesperson explained that the firm considers cryptocurrencies as a diversifying means of its members’ retirement fund. The plan isn’t a direct investing option.
A spokesperson for the company confirmed that it is continuing to research the matter before making any final decisions. The spokesperson also confirmed that they were focusing their attention on the security and regulation of crypto investing.
Investment in Cryptocurrencies to Strive In The Country
Within the next week, contradictory comments will be made to those from Australian Rest Super. Paul Schroder (the Chief Executive of $167 Billion funds) stated on Monday that crypto was not an option to invest in for members.
According to reports, QIC (Queensland Investment Corporation), an investment company owned by Queensland, was looking into adopting cryptocurrency. The company however, revealed this week to Business Insider that the report was false. It reacted by reducing all efforts to develop digital assets.
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Stuart Simmons, Head of Currency, QIC, stated that he would like superannuation to embrace cryptocurrency. The move will likely be gradual and not a huge one.
The entire deliberation on Australian superannuation funds is happening within the period of a bullish trend in the country’s crypto market. After the Senate committee presented some regulatory proposals in October, this is what happened.
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The country is now a key player in cryptocurrency transactions. The Commonwealth Bank of Australia (CBA), plans to provide cryptocurrency trading services earlier in the month via its banking app.
CBA CEO Matt Comyn commented this week on cryptocurrency adoption in China, as more is being expected.
He explained that FOMO is the motivation behind participation in digital resources. Although there is risk in their participation, the risks of their not participating are much greater.
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