An Indian startup association published a political proposal for cryptocurrency regulation in India. Considering that earlier this year lawmakers in India called for a complete ban and criminalization of cryptocurrencies, this is a very different move. What does this mean?
IndiaTech.org published a whitepaper in which they included a proposal for regulatory frameworks related to cryptocurrencies. The association who represents India’s internet startups and investors recommends that the Indian government regulate cryptocurrencies as digital assets. In other words, they want the government to regulate cryptocurrencies like other assets that are not considered currencies – like gold.
Earlier this year, lawmakers in India called for a complete ban and criminalization of cryptocurrencies. Now it is taking a totally different turn. If the government receives these plans with a warm welcoming, it could be bullish news for the crypto industry.
The CEO of the IndiaTech.org, Rameesh Kailasam said:
The foremost need today is for this sector to be granted the much-needed regulatory clarity that it has been seeking. We are hopeful that the Government will work with the industry to regulate the sector and that a progressive approach is adopted while doing so. Introducing reasonable checks and balances will ensure that India is able to embrace and adopt new-age technologies by adequately leveraging their potential.”https://www.analyticsinsight.net/indiatech-org-releases-a-white-paper-proposes-a-5-point-recommendations-framework-for-regulating-crypto/
And there are others in the crypto industry who are taking notice of the suggestions in this whitepaper. Sumit Gupta, co-founder and CEO at CoinDCX commented:
Regulating this industry will bring India at the forefront of blockchain and crypto revolution!
It is possible that the Indian government will find the opportunity of investing in crypto far more lucrative than banning it. Another excerpt from Indiatech.org’s new whitepaper reads:
India with the right monitoring regulations in place can create an avenue to participate in wealth creation opportunities in this new asset class that can be like gold in the future for the generations ahead.
The Reserve Bank of India, however, has many concerns about cryptocurrency – most notably market maniuplation. In order to qualm the fears of the Indian Reserve Bank and other doubters, the association came up with a five point framework to define how the government could go about regulation. It includes defining crypto assets and enabling taxation.
If the government implements this five point framework, it could be monumental. Not just for India, but for crypto in general and the rest of the world.
The journey of crypto in India
Like most places, crypto’s journey in India has been a bounce back and fourth between acceptance and outright hostility to the industry. However, the IndiaTech.org’s new suggestions could bring bright things for the future of the cryptocurrency industry.