India appears to be taking a progressive stance on Bitcoin (BTC). Especially since the country is trying to reach a uniform point of view on the categorization and legality of this new asset class.
Amid a series of cabinet meetings, industry meetings, and mounting banking troubles, the country’s prime minister has become increasingly vocal about cryptocurrencies.
At the Sydney Dialogue, Prime Minister Narendra modi asked for democratic countries to work together to get the most out of cryptocurrencies and blockchain technology. He also stated that they should not be used for unethical purposes.
Take crypto-currency or bitcoin for example.
It is important that all democratic nations work together on this and ensure it does not end up in wrong hands, which can spoil our youth: PM @narendramodi
– PMO India (@PMOIndia) November 18, 2021
Let’s take cryptocurrencies or bitcoin as an example. It’s important that all democratic nations work together on this and make sure it doesn’t end up in the wrong hands, which can ruin our youth: Prime Minister @narendramodi
On Monday, Prime Minister Modi spoke about cryptocurrencies in the context of money laundering and terrorist financing at a high-level meeting. The general mood surrounding the meeting suggested that strong regulatory measures were under way, albeit progressive and forward-looking.
The Indian government has already taken steps to establish a strong regulatory infrastructure for this fast-growing sector.. He has held numerous high-level discussions, including one between the Central Bank (RBI), the Ministry of Finance and the Ministry of the Interior, as well as with cryptocurrency experts and major industry players from within and outside of India.
Despite the objective point of view offered by some government ministers, the Governor of the Reserve Bank of India, Shaktikanta Das, remains unconvinced. On Tuesday, the executive reaffirmed his stance that allowing cryptocurrency trading could jeopardize any financial system as they are not supervised by central banks.
Despite the rise in popularity of cryptocurrencies in India, lawmakers remain divided on the need for a comprehensive regulatory system. A bill on Bitcoin is expected to go before the Indian legislature during the next session. Many hope this will provide investors and organizations with some peace and clarity.
As Cointelegraph reported, India plans to reduce goods and services taxes (GST) on crypto exchanges from 18% to 1% through regulatory reclassification. Furthermore, the president of Peru’s central bank recently stated that his country will join forces with India and two other nations to create its own central bank digital currency., even though the regulation of cryptocurrencies is still unclear in India.
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