India Reviews Crypto Stance Amid Global Policy Shifts
India is reevaluating its approach to cryptocurrencies due to evolving attitudes toward virtual assets worldwide. According to a senior government official, the review will assess changes in regulations in other jurisdictions and impact the release of a previously planned discussion paper on cryptocurrencies.
The Economic Affairs Secretary, Ajay Seth, emphasized the global nature of crypto assets, stating that India's stance cannot be determined unilaterally. He cited recent policy initiatives in the United States, where President Trump has established a working group to propose new crypto regulations and explore a national cryptocurrency stockpile.
Despite India's historically strict regulatory stance, its citizens have invested heavily in cryptocurrencies. However, the Financial Intelligence Unit has taken action against non-compliant offshore exchanges.
The Securities and Exchange Board of India (SEBI) has recommended that multiple regulators oversee cryptocurrency trading, suggesting a shift towards accepting virtual assets. However, the Reserve Bank of India maintains its view that private digital currencies pose macroeconomic risks.
The outcome of India's review remains uncertain, with potential implications for the future of cryptocurrencies in the country.