Crypto Assets in India Will Be Regulated and Monitored, Not Banned

[waybesuricata]

According to the latest reports, the Indian government is reportedly looking to regulate the crypto asset class instead of banning it. This is a U-turn from previous reports suggesting that cryptocurrencies would be banned.

News of India’s stance on the cryptocurrency asset class has once again taken a new form, as reports from local media outlets suggest that the government will opt for regulation instead of a ban. News outlet NDTV announced that it had obtained details of a cabinet note that stated various regulatory measures.

Specifically, Indian investors will have a limited time to declare their crypto holdings. They will then have to move their assets from private wallets to selected regulated exchanges. That means they will not be allowed to use wallets like hardware wallets instead of being mandated to hold them on centralized exchanges.

The idea is to prevent money laundering and other illicit activities by being able to track the asset flow. The exchanges themselves will be overseen by the Securities and Exchange Board of India (SEBI), which will no doubt require platforms to undergo registration.

Last month, reports emerged that the government was proposing a bill that would ban the asset class, which led to panic selling on popular local exchange WazirX. Crypto-supporters have been lobbying against a draconian ban, which they say would set India back economically.

Lastly, the bill also reportedly states that cryptocurrencies will not be accepted as legal tender, which has been talked about in the past. India is preparing to launch its own central bank digital currency (CBDC), though there have been no details offered on that yet.


Source and continuation of news:  https://beincrypto.com/india-regulate-not-ban-cryptocurrencies/