{"id":287467,"date":"2021-06-30T15:07:00","date_gmt":"2021-06-30T12:07:00","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/slow-but-not-steady-indias-stance-on-bitcoin-and-crypto-is-evolving\/"},"modified":"2021-06-30T15:07:00","modified_gmt":"2021-06-30T12:07:00","slug":"slow-but-not-steady-indias-stance-on-bitcoin-and-crypto-is-evolving","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/slow-but-not-steady-indias-stance-on-bitcoin-and-crypto-is-evolving\/","title":{"rendered":"# Slow, but not steady: India\u2019s stance on Bitcoin and crypto is evolving"},"content":{"rendered":"<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_85 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a36e709420d3\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #dd3333;color:#dd3333\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #dd3333;color:#dd3333\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a36e709420d3\" checked aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/buradabiliyorum.com\/en\/slow-but-not-steady-indias-stance-on-bitcoin-and-crypto-is-evolving\/#A_taxing_problem\" >A taxing problem<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/buradabiliyorum.com\/en\/slow-but-not-steady-indias-stance-on-bitcoin-and-crypto-is-evolving\/#Young_and_hungry\" >Young and hungry<\/a><\/li><\/ul><\/nav><\/div>\n<p>&#8220;<strong># Slow, but not steady: India\u2019s stance on Bitcoin and crypto is evolving <\/strong>&#8221;<br \/>\n<img decoding=\"async\" src=\"https:\/\/images.cointelegraph.com\/images\/840_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjEtMDYvYTg5YTY3OWUtZGY1Ny00NjNlLWE2OWMtZjU3ODAyZGVkMzU0LmpwZw==.jpg\" \/><\/p>\n<div class=\"post-content\" data-v-128018ef>India\u2019s reserve bank has long since condemned the use of cryptocurrencies, but other than the Supreme Court striking down its 2018 bill last year, the Indian government\u2019s stance on cryptocurrencies has been largely uncertain.\u00a0<\/p>\n<p>On one hand, top sources tracking the government\u2019s stance say it has shifted away from the idea of a complete ban. On the other hand, more banks have started barring cryptocurrency-related businesses from accessing their services, including ICICI Bank, Paytm Payments, Yes Bank and, most recently, IDFC First Bank.<\/p>\n<p>The Reserve Bank of India\u2019s (RBI) stance is understandable. As the body responsible for ensuring the country\u2019s ability to absorb financial shocks, it has repeatedly pointed out the risks of using cryptocurrencies. Some banks still cite the<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/rbidocs.rbi.org.in\/rdocs\/notification\/PDFs\/NOTI15465B741A10B0E45E896C62A9C83AB938F.PDF\"> <\/a>2018 circular as the reason for <a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/rbidocs.rbi.org.in\/rdocs\/notification\/PDFs\/NOTI15465B741A10B0E45E896C62A9C83AB938F.PDF\">freezing<\/a> accounts dealing in cryptocurrencies despite the RBI having repealed it earlier this year.<\/p>\n<p>According to reports, India\u2019s market regulator, the Securities and Exchange Board of India, will oversee legislation for the cryptocurrency sector once Bitcoin (BTC) becomes classified as an asset class. Sources also suggest an expert panel is being put together to study the <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/technology\/\" data-internallinksmanager029f6b8e52c=\"4\" title=\"Technology\" target=\"_blank\" rel=\"noopener\">technology<\/a> and that the parliament\u2019s Monsoon session will discuss introducing a cryptocurrency regulation bill.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"A_taxing_problem\"><\/span>A taxing problem<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>India has taken drastic measures to curb the amount of cash that goes untaxed, including demonetizing its 500- and 1,000-rupee currency notes in 2016. One of the biggest concerns of the Indian government is how cryptocurrency affords a degree of anonymity to its users and how it could be used to finance terrorism, launder money and help with other forms of criminal activity. However, this raises the question of whether cryptocurrency investors should pay the price for the inefficiencies of digital law enforcement.<\/p>\n<p>\u201cEver since the supreme court ruling in March 2020, crypto-related trading has gained immense traction in India, especially among the Millennial and Gen-Z investor community,\u201d Sumit Gupta, CEO of India-based cryptocurrency exchanges CoinDCX, told Cointelegraph, adding, \u201cWell-meaning regulations will help strengthen the crypto ecosystem in our country.\u201d<\/p>\n<p>In March, Minister of State Finance Anurag Singh Thakur<a rel=\"nofollow noopener\" target=\"_blank\" href=\"https:\/\/www.medianama.com\/wp-content\/uploads\/2021\/03\/AU31051.pdf\"> stated<\/a> that the government was collecting income tax on cryptocurrency earnings and even collected Goods and Services Tax from exchanges. However, he also noted that the government doesn\u2019t maintain any data on cryptocurrency earnings since it has no means of capturing such information. Gupta added:<\/p>\n<blockquote><p>\u201cWe will continue to collaborate with other peers in the crypto industry to place our collective suggestions before authorities.\u201d<\/p><\/blockquote>\n<p>Shivam Thakral, CEO of BuyUcoin \u2014 one of India\u2019s top exchanges \u2014 believes the RBI will eventually come around. \u201cI strongly believe that the RBI is not against any financial innovation, which has the potential to boost the Indian economy and create jobs for the youth,\u201d he said, adding, \u201cThe RBI\u2019s main concerns are around the misuse of the power crypto assets have.\u201d <\/p>\n<p>However, Sidharth Sogani, founder and CEO of cryptocurrency research firm Crebaco Global, seems much more optimistic about India\u2019s readiness for blockchain technology. \u201cTechnologically, we are ready. Regulated environments are easy to live in, [and] will enable the government to monitor crypto transactions,\u201d he said, adding further, \u201cIndia needs a dedicated department to regulate the crypto space. Not regulating them will only encourage the black market.\u201d Thakral added:<\/p>\n<blockquote><p>\u201cI have complete faith in the RBI, and we can expect clarity on regulatory guidelines for crypto assets soon.\u201d<\/p><\/blockquote>\n<p>The country\u2019s <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/download-scripts-themes-apps\/\" data-internallinksmanager029f6b8e52c=\"9\" title=\"Download Scripts &amp; Themes &amp; Apps\" target=\"_blank\" rel=\"noopener\">app<\/a>roach to classifying cryptocurrencies as an asset class is positive <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/news\/\" data-internallinksmanager029f6b8e52c=\"2\" title=\"News\" target=\"_blank\" rel=\"noopener\">news<\/a> for the space since it matches various other countries\u2019 routes to create better frameworks for decentralized currencies.<\/p>\n<p>\u201cCryptocurrencies have been viewed as a digital asset by the Australian Taxation Office for some time now,\u201d said Michael Swan, founding member and chief commercial officer of asset custody service firm Unido. He opined further, \u201cWe see the steps taken by India as a natural progression and consistent with the global sentiment.\u201d<\/p>\n<p>However, there are concerns surrounding the cryptocurrency regulation bill that is to be introduced in parliament. After the RBI\u2019s circular in 2018, the government set up a panel to report on news pertaining to the crypto space. In 2019, this panel recommended a blanket ban on digital currencies.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Young_and_hungry\"><\/span>Young and hungry<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>India\u2019s finance minister has stated that India will not shut down all options for cryptocurrencies, which some construed as a possible ban on private cryptocurrencies, paving the way for a state-backed central bank digital currency (CBDC). However, with the younger generation flocking to digital assets as the older ones did with gold, this could be a huge lost opportunity for Millennials and Generation Z individuals just entering the workforce.<\/p>\n<p>The RBI\u2019s inability to provide the supreme court with enough evidence that cryptocurrencies need to be banned means there is some pressure on Indian authorities to allow cryptocurrencies in the country. However, Indian investors, especially the younger ones, are being pushed from confused to disgruntled, as obscure regulation brings the fear of missing out on the giant swings cryptocurrency markets offer.<\/p>\n<p>\u201cIndia is one of the youngest countries with a large number of people who are early adopters of technology. Currently, we see more and more people between the ages of 24 and 40 adopting crypto,\u201d said Gupta. However, when asked about whether India\u2019s plans for a CBDC were seeing any footing, he refused to comment. Sogani added:<\/p>\n<blockquote><p>\u201cIndia needs a dedicated department to regulate the crypto space. Not regulating them will only encourage the black market.\u201d<\/p><\/blockquote>\n<p>\u201cAfter the RBI booklet outlining possible plans for a CBDC, there has not been any <a href=\"https:\/\/buradabiliyorum.com\/en\/category\/social-mediaa\/\" data-internallinksmanager029f6b8e52c=\"1\" title=\"Social Media\" target=\"_blank\" rel=\"noopener\">media<\/a> statement around India\u2019s official CBDC,\u201d said Thakral, adding further, \u201cWe have seen reports around major banks moving towards blockchain, and it could be a sign that banks are laying the foundation for making a CBDC a reality.\u201d <\/p>\n<p>Indian investors appear confident about the industry\u2019s long-term growth despite the recent market crash, and market experts and leaders seem optimistic about how authorities will legislate crypto in the country. Though progress is slow, things appear to be moving, but with a market of close to 1 billion users, India\u2019s stance on crypto is of global concern.<\/p>\n<p><template data-name=\"subscription_form\" data-type=\"defi_newsletter\"><\/template><\/div>\n<blockquote><p><strong><span style=\"color: #ff6600;\">If you liked the article, do not forget to share it with your friends. Follow us on\u00a0<span style=\"color: #ff0000;\"><a style=\"color: #ff0000;\" href=\"https:\/\/news.google.com\/publications\/CAAqBwgKMLG0nwswvr63Aw\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">Google News<\/a><\/span>\u00a0too, click on the star and choose us from your favorites.<\/span><\/strong><\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\">For forums sites go to <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/forum.buradabiliyorum.com\/\" target=\"_blank\" rel=\"noopener\">Forum.BuradaBiliyorum.Com<\/a><\/span><\/strong>\n<\/p><\/blockquote>\n<blockquote>\n<p style=\"text-align: center;\"><strong>If you want to read more News articles, you can visit our <span style=\"color: #ff9900;\"><a style=\"color: #ff9900;\" href=\"https:\/\/en.buradabiliyorum.com\/general\/\" target=\"_blank\" rel=\"noopener\">General category.<\/a><\/span><\/strong><\/p>\n<\/blockquote>\n<p><span style=\"color: black;\"><a style=\"color: #ff9900;\" href=\"https:\/\/cointelegraph.com\/news\/slow-but-not-steady-india-s-stance-on-bitcoin-and-crypto-is-evolving\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>&#8220;# Slow, but not steady: India\u2019s stance on Bitcoin and crypto is evolving &#8221; India\u2019s reserve bank has long since condemned the use of cryptocurrencies, but other than the Supreme Court striking down its 2018 bill last year, the Indian government\u2019s stance on cryptocurrencies has been largely uncertain.\u00a0 On one hand, top sources tracking the&#8230;<\/p>\n","protected":false},"author":1,"featured_media":287468,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"https:\/\/images.cointelegraph.com\/images\/1200_aHR0cHM6Ly9zMy5jb2ludGVsZWdyYXBoLmNvbS91cGxvYWRzLzIwMjEtMDYvYTg5YTY3OWUtZGY1Ny00NjNlLWE2OWMtZjU3ODAyZGVkMzU0LmpwZw==.jpg","fifu_image_alt":"","footnotes":""},"categories":[1],"tags":[74862,78031,17318,70934],"class_list":["post-287467","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-general","tag-bitcoin","tag-reserve-bank-of-india","tag-india","tag-regulation"],"_links":{"self":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/287467","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/comments?post=287467"}],"version-history":[{"count":0,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/posts\/287467\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media\/287468"}],"wp:attachment":[{"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/media?parent=287467"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/categories?post=287467"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/buradabiliyorum.com\/en\/wp-json\/wp\/v2\/tags?post=287467"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}