Indian Gov’t to Approach Crypto Regulation ‘With Due Caution’
The Indian government is reaching cryptocurrency regulation with caution, tech magazine Quartz published Dec. 31, quoting Pon Radhakrishnan, the Minister of State in the Ministry of Finance and Ministry of Shipping.
The newest episode in India’s increasingly drawn-out path to formalizing its domestic cryptocurrency economy, Radhakrishnan mentioned that the lack of a “globally acceptable solution” meant lawmakers were improbable to issue formal statues in the short term.
Addressing the lower house of parliament, the Lok Sabha, on Dec. 28, he mentioned:
“In absence of a globally acceptable solution and the need to devise technically feasible solution, the department is pursuing the matter with due caution. It is difficult to state a specific timeline to come up with clear recommendations.”
India presently enforces a ban on banks servicing cryptocurrency-based operations. Enacted in July, the Reserve Bank of India’s rule has directed to the exit of several local businesses and a Supreme Court challenge.
Thus far, neither the central bank nor the government has been stimulated by the consumer backlash, a governmental panel source initially this month advising making cryptocurrency partially illegal was still on the cards.
Nevertheless, this week witnessed the same panel supposedly signals it would be in favor of regulation over criminalization of the sector.
At the present time, it remains legal to possess cryptocurrency in India, but some parties have publicly mentioned as of October that they deem such ownership illegal.