Catenaa, Monday, February 03, 2025 – India is reviewing its stance on cryptocurrencies as other nations soften their positions on digital assets, a senior government official said Sunday.
According to report filed by Reuters News Agency. Ajay Seth, India’s economic affairs secretary, told Reuters the government is revisiting a long-awaited discussion paper on cryptocurrency regulation, initially expected in September 2024.
“More than one or two jurisdictions have changed their stance towards cryptocurrency in terms of usage, acceptance and importance. In that stride, we are having a look at the discussion paper once again,” Reuters quoted Seth as saying.
He did not directly mention the United States, where former President Donald Trump recently ordered the creation of a crypto working group to draft regulations and explore a national cryptocurrency reserve.
India has maintained strict regulations on cryptocurrency, including heavy trading taxes. In December, the Financial Intelligence Unit issued show-cause notices to nine offshore crypto exchanges over non-compliance with local laws.
Binance, the world’s largest exchange, was fined 188.2 million rupees ($2.25 million) in June 2024 after registering with the FIU.
India’s market regulator has proposed multi-agency oversight of cryptocurrencies, signaling some openness to private digital assets. However, the Reserve Bank of India continues to warn that such currencies pose macroeconomic risks.
