OKX Targets Australia’s $2.8 Trillion Pension Pool as Crypto Moves Into Retirement Portfolios

Australia’s $2.8 trillion pension system, known locally as superannuation, has become a key battleground for global crypto exchanges, with OKX and Coinbase rolling out products designed to channel retirement savings into digital assets.

Superannuation is the country’s mandatory retirement scheme and one of the largest pools of capital in the world. As of September 2024, it was valued at $2.7 trillion, more than doubling from $1.2 trillion a decade earlier, with an average annual growth rate of 8.2%. Deloitte projects the sector could reach $11.2 trillion by 2043, making it an attractive entry point for crypto adoption.

SMSFs at the Center of Crypto’s Pension Push

The focus for both OKX and Coinbase has been on self-managed superannuation funds (SMSFs), which already account for a quarter of the system and allow individuals to directly control their retirement investments. Crypto exposure in SMSFs has surged sevenfold since 2021, reaching A$1.7 billion, as reported by Bloomberg.

“It does make sense that we’re probably seeing a bit more interest in crypto in the self-managed super fund space first,” said Fabian Bussoletti of the SMSF Association in the Bloomberg report, noting that larger funds may follow over time.

OKX, a global trusted crypto exchange, launched a pension-focused product in June, and demand has exceeded expectations, according to its Australian CEO, Kate Cooper. The exchange plans to streamline SMSF creation by linking investors with accountants and legal advisors.

Meanwhile, Coinbase is preparing a dedicated SMSF service, with more than 500 investors already on its waiting list. Asia-Pacific Managing Director John O’Loghlen said 80% of those plan to establish a new SMSF, and 77% intend to allocate up to A$100,000 into digital assets.

Why Superannuation Is Attractive for Crypto

The sheer size and cash inflow of Australia’s retirement system underscore why crypto firms are circling. Cath Bowtell, chair of IFM Investors, highlighted in a recent report that $3.2 billion flows into superannuation each week, creating a constant demand for new investment avenues.

Super funds already allocate to global infrastructure—from U.S. toll roads to Canadian ports—but are increasingly seeking diversification as liquidity challenges and global risks rise. This makes digital assets an appealing alternative, particularly for SMSF investors willing to take on more risk.

The Regulatory Backdrop: Opportunity and Caution

Despite growing momentum, Australia’s crypto-for-pensions experiment is unfolding under heavy regulatory scrutiny.

The Australian Securities and Investments Commission (ASIC) has warned: “These are highly volatile products, and overexposure can lead to substantial losses.”

Regulators have tightened oversight in recent months:

• AUSTRAC ordered Binance’s local arm to appoint an external auditor over money laundering and terror financing concerns.
• A nationwide compliance campaign was launched, with 427 inactive exchanges warned they could face deregistration.
• A publicly searchable register is planned to help consumers verify licensed exchanges.
• ASIC has blocked over 10,000 scam websites, including 7,200 fake investment platforms.

Even compliant operators have faced penalties. Melbourne-based Cointree was fined $75,120 for delays in filing suspicious activity reports.

Crypto’s Future in Superannuation

AMP remains the only major super fund to publicly disclose crypto exposure, having allocated $27 million to Bitcoin. For now, SMSFs are leading the charge, but both OKX and Coinbase are betting that mainstream super funds will eventually join.

Still, the Australian Tax Office has cautioned against speculation: “The objective of superannuation is to preserve savings to deliver income for a dignified retirement.”

With retirement savings inflows growing and regulatory frameworks tightening, Australia may become a test case for integrating crypto into global pension systems—with OKX and Coinbase positioning themselves at the forefront.