Cryptocurrency Exchanges in Australia - Industry Market Research Report

Playing the market: Cryptocurrency marketplaces have been expanding in scale to become profitable

Cryptocurrency exchanges services launched in Australia in 2012-13 to cater to rising interest in cryptocurrencies as a form of payment. Crypto exchange services have since expanded at a rapid pace, albeit from a low base. Bitcoin, the largest and most well-established cryptocurrency, was created in 2008-09. Cryptocurrency services are still in the early stages. Cryptocurrency exchange service providers typically earn revenue through fees paid on deposits, withdrawals and trades conducted on local exchanges. Cryptocurrency initially generated little revenue, as the new platform of financing was still in its infancy and had a low uptake. Many local exchanges recorded operating losses and relied on external sources of funding and capital. Despite these losses, surging cryptocurrency prices and trading volumes have since allowed many exchange operators to record a profit. Cryptocurrency exchange revenue is expected to grow at an annualised 0.1% over the five years through 2022-23, to $58.9 million. This includes an anticipated decline of 2.6% in 2022-23.

Cryptocurrency exchange marketplaces primarily provide cryptocurrency exchange services. The cryptocurrency marketplaces include companies that allow consumers and companies to buy and sell cryptocurrencies. Marketplaces exclude companies involved in cryptocurrency mining and providing cryptocurrency investment products like hedge funds, derivatives and savings accounts.

This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry's key players and their market shares.