According to reports, the Indian government is expected to introduce a crypto bill during the Monsoon session of the parliament. The country might review crypto as an asset class in the awareness of Securities and Exchange Board of India(SEBI).
So far, the Indian government did not establish a cryptocurrency bill in the parliament. The existing bill demands to prohibit cryptocurrency. As far reports are concerned, it suggests that at present the government seeks to re-examine the recommendations within the bill.
On Friday, the New Indian Express quoted sources managing the crypto industry that the government has shifted from its earlier hostile stance regarding virtual currencies and is expected to classify bitcoin as an asset class in India. “Market regulator Securities and Exchange Board of India (SEBI) will oversee regulations for the cryptocurrency sector after bitcoin’s classification as an asset class,” the publication added.
Earlier reports stated that the Indian government will put forward a panel of experts who are likely to suggests new recommendations to supervise the cryptocurrency industry in India. According to sources, an expert panel at the Ministry of Finance is involved to frame the country’s cryptocurrency policies. The publication stated that a cryptocurrency regulation bill is likely to be tabled in the parliament during the monsoon session. The session starts around the month of July, however in the previous year it got postponed due to the pandemic.
The Reserve Bank of India, last week notified that it withdrew the April 2018 circular that asked the financial institution to deny services to crypto businesses and traders. It informed that the circular is invalid following a Supreme Court order in the previous year of March.
RBI governor, Shaktikanta Das voiced that the Bank’s stand on cryptocurrency have not changed and it is yet a major concern. He further elaborated that they are in touch with the finance ministry.
Ketan Surana, Director and Chief financial officer of cryptocurrency exchange and member of Internet and Mobile association of India explained that they can definitely voice that the new committee that is involved in cryptocurrencies is very optimistic on cryptocurrency regulation and legislation.
“A new draft proposal will soon be in the cabinet, which will look into the overall scenario and take the best step forward,” the director added. He further expressed that that are very hopeful that the government will embrace cryptocurrencies and blockchain technologies.
