Australia’s new Intergenerational Report, released by the Treasury, outlines five key transitions projected to shape the country’s economy over the next four decades. The report identifies artificial intelligence (AI), ongoing geopolitical tensions, an aging population, clean energy adoption, and the growth of the services sector as the primary drivers of change. Notably, digital assets and cryptocurrencies are absent from this long-term economic outlook.
AI in focus, crypto left out
Treasury’s Intergenerational Report describes recent advancements in agentic AI systems, noting that these tools have become significantly more capable, autonomous, and widely used. According to the report, some of these AI systems now match or exceed human performance on specific benchmarks, underscoring AI’s increasingly central role in economic development.
However, the report does not address the potential impact or role of cryptocurrencies and other digital assets in Australia’s future economy. This omission stands out as major financial institutions in Australia have recently stepped up their focus on tokenized finance and digital infrastructure.
Coinbase Australia, a subsidiary of the global cryptocurrency exchange Coinbase, responded to the report’s publication. John O’Loghlen, country director at Coinbase Australia, stated that while the report emphasizes technological adoption and productivity, it overlooks the financial infrastructure needed to support advancements in AI.
John O’Loghlen commented that Australia’s future prosperity depends on adopting new technology and boosting productivity, but pointed out that the report does not consider the financial infrastructure these new technologies require.
Previous editions of the Intergenerational Report have also failed to include digital assets, even as government bodies and industry groups estimate significant economic gains from digital finance. Earlier this year, the Reserve Bank of Australia increased its attention on tokenized finance and the modernization of payment systems, while the Digital Finance Cooperative Research Centre projected that digital finance innovations could deliver 24 billion Australian dollars (US$17.1 billion) in annual economic benefits.
Separate Treasury report addresses digital finance
Although the main Intergenerational Report does not mention digital assets, another recent government document does touch on the subject. Treasury’s Financial Innovation Strategy, released in early September, examines the growing connection between AI and the need for advanced financial infrastructure.
This report says that agentic systems are likely to accelerate the use of automated, machine-to-machine transactions. As a result, demand is expected to grow for real-time, interoperable, and programmable payment networks that can support these activities.
O’Loghlen pointed to regulatory progress made with the Digital Asset Platform framework, which has brought added clarity to the sector in recent years. He suggested that policymakers should now extend their efforts to include a robust framework for stablecoins and clear rules for tokenized markets.
He highlighted that achieving clarity and building the right regulatory environment for stablecoins and tokenized markets are vital for enabling the next stage of digital finance growth in Australia.
O’Loghlen argued that these steps are essential for supporting developments not only in digital finance but also in finance powered by agentic systems.
Coinbase, founded in the United States, is one of the world’s largest cryptocurrency exchanges, offering trading services and digital asset infrastructure. Its Australian arm continues to advocate for policy attention on digital finance innovation during the nation’s evolving regulatory discussions.
While the Intergenerational Report places AI at the center of Australia’s future economic strategy, digital assets remain largely excluded from official projections despite growing calls to recognize their significance.
Mini dictionary: Agentic AI systems, a class of artificial intelligence, are designed to act on their own, making decisions and executing actions independently with minimal human intervention.
