What they want will be different with what they can do and what they can achieve after all. Not yet mentioned that they can lie us too.

Fiat currencies with banks are KYC but does it work effectively to prevent Money Laundering. The answer is, not.

Governments and central banks want cryptocurrency centralized exchanges to do KYC on customers, mandatory and given reason is mandatory KYC can help to fight against Money Laundering. Do you think they will succeed with it?

My answer is they will fail.

Why KYC is extremely dangerous - and useless.

The politicians behind most governments know very well what buttons to push to get their way, if they were honest about their intentions and they said that they were introducing new regulations as they wanted to keep better track of what you were doing with your cryptocurrencies, there will be an immediate backlash against it as people hate getting their freedoms restricted.

But by using the excuse that this is being done in order to protect people from being scammed they can get away with almost anything, and do whatever they want without suffering any negative consequences.

There is a need to regulate the operations of centralised crypto platforms like exchanges. We have seen these crypto organisations engage in many unwholesome activities that have led to the loss of funds of many clients. The government has the responsibility of protecting its citizens from these fraudulent firms hiding under the freedom of the crypto space to carry out their criminal activities. It is important to confirm if they have the funds they claim they own and there should also be a limit to the services they offer. However, these laws should be limited to only centralised platforms because decentralisation is self-regulatory. Citizens should be allowed to freely choose between government-regulated exchanges and decentralised platforms.     

It's really great to hear that Australia has announced Bitcoin legalization, but it's really great news that the people of their country can go a long way with Bitcoin. Australians are very lucky that their country's government has legalized Bitcoin for them. We are really sorry to hear this news from Australia. If this happened in our country, if Bitcoin was legal, we would be able to work more relaxed.  Maybe bitcoin will never be legal in our country because our country's government can't manage bitcoin.

El Salvador is more friendlier since they accept Bitcoin as a legal tender.

Banks aren't give any protection to their customers, they're only making a promise and you need to rely with their promise. As you know human is complex and can change their mind so fast, I don't be surprised if they said they will protect their customers, but tomorrow they will disappear.

Well, it is definitely the responsibility of the government to be regulating anything that it feels it has jurisdiction with, especially with the intent of protecting the people and/or the general public from unscrupulous players in the industry. I do find this news to be a good news for the cryptocurrency industry in Australia as we are slowly moving away from the Wild Wild West era which dominated in many years and in many ways resulted into loss of money of people victimized by scams and frauds.

This doesn't have anything to do with legalizing BTC, by the way BTC isn't illegal in Australia. The Australian government are providng more regulations, rules and guidelines for cryptocurrency exchanges, these exchanges must follow these regulations or else they will cease to offer their services to Australian customers; i don't know where you read about BTC legalization and all the stuffs you're saying here.
I don't know what country you are talking about, but it doesn't matter if BTC is legal or not in a particular country, they still do not have the power to manage or control it, they can only make laws and decisions on it or affecting BTC businesses, but they can manage or control BTC in itself.

Hmm, well there's a point to it, Regulatory policies consume time with the discussion here in Australia we cant be sure about anything. For the ETF's approvals, there are some rumors the early ETF approval can be of MicroStrategy, BlackRock is a strong contender but it will most likely take time. On the Australian upcoming policies about the Spot ETF is too early to predict such sort of the outcomes.

Hope that every country would really be something like this on which they are really that open when it comes to crypto existence and instead of banning, they would neither be having reconsiderations on running laws
and regulations for the sake of their citizens safety which it isnt really that bad at all,considering on having lots of scams and frauds that do exist on the market then it would really be just that normal for the government to be really that in concern about their citizens safety or protection on which it is really just that normal for government on doing so.For exchangers to be needing to be getting in line with government rules and regulations then it would really be just that a common approach.

For those who doesnt really like centralization or KYC then it might look that bad but in overall for your protection then it would really be just that less riskier on losing money or funds
if ever the exchange would really be making out some foolish movement on running away with their users funds but in exchange to that then the government would really be
having that track on you in regarding on how much you do hold or simply it is really that still dealing with centralized things but at least we do really have that
option if ever we do tend to be that truly anonymous on which on not to touch up these services.

Not every country does it, prioritising the people's interest and making regulations is positive way of approaching cryptocurrency. Most of the countries look for the opportunity to restrict people from cryptocurrency usage, and Australia have got different view in it. Even in gambling this country is different as it looks for the goodness of the people. The country have restricted usage of credit card for gambling understanding this could lead to addiction easily.