Government agencies say they need to work quickly to become experts in cryptocurrencies and crime. 

The head of the Australian Criminal Intelligence Commission (ACIC), Michael Phelan, says the use of cryptocurrencies like Bitcoin and Ethereum are making investigating transnational crime groups tougher. 

The chief of ACIC - which brings together law enforcement agencies at the national level - says criminal groups are becoming more covert in their methods to cover their financial tracks. Mr Phelan also said the public sector is struggling to attract and retain the tech talent needed to respond.

“If I was to sit there and tell you that we're experts on cryptocurrencies, I would be misleading the Senate,” Mr Phelan said.

“But we're building up our expertise in those particular areas and indeed other agencies, particularly AUSTRAC, are very equipped to deal with this particular area of movement of funds - and we work very closely with them.”

He said that ICT specialists had been lured from the law enforcement agencies by some of the powers and equipment available to government agencies, but admitted that the public sector “will never be able to compete with the wages offered by the private sector”.

Professionals Australia, a public sector union for workers in technical roles, said for all the government’s cutting edge tools, it does not do enough to support the people that run them. 

“Lucrative private sector opportunities created by competition for skills, coupled with declining APS pay prospects, act as a significant factor pushing ICT professionals out of the APS, or preventing them from considering an APS career in the first place,” said Dale Beasley from Professionals Australia.

“You can't buy a house with network bandwidth, kids can't wear RAM to school, and the private sector has deep pockets to attract these sorts of skills.

“The APS will increasingly be required to respond to threats and challenges that can only be met by a highly skilled ICT professional workforce.

“Investment in reskilling and upskilling in a sovereign ICT professional workforce must be a key priority for the government.”