7 December 2021
Indian Prime Minister Narendra Modi addressed Sydney Dialogue online, where he discussed India’s success in the Artificial Intelligence and Digital sector. However, what drew everyone’s attention was his comments on Bitcoin and the Crypto market. Modi said that democratic countries should work together to ensure Crypto-assets don’t end up in the wrong hands and spoil youth.
“It is important that all democratic nations work together on this and ensure that it does not end up in the wrong hands, which can spoil our youths.”
On Saturday, Modi chaired a meeting with the Central Bank (RBI), Finance Ministry, Home Ministry, and Crypto-experts to discuss India's approach to Cryptocurrencies. The cabinet could receive the draft related to Crypto regulations to review within two to three weeks. The government will also take progressive and forward-looking steps for Cryptocurrencies.
Yesterday, the Economic Times newspaper reported that Indian officials are drafting regulations to propose a ban on all transactions and payments in Crypto while allowing investors to hold them as assets like gold, bonds, and stocks.
Additionally, sources claim that the Indian government is planning to categorize Crypto exchanges as e-commerce websites. If this takes effect, it will minimize the Goods and Services Taxes (GST) from 18% to 1% paid by users per transaction.
Disclaimer: The author’s thoughts and comments are solely for educational reasons and informative purposes only. They do not represent financial, investment, or other advice.