India to Finalize Crypto Consultation Paper With IMF, World Bank Input

India is expected to release a consultation paper on cryptocurrency regulation with input coming via the World Bank and the IMF

article-image

The Indian Parliament building in New Delhi; Source: Shutterstock

share

key takeaways

  • India’s Economic Affairs Secretary has said a consultation paper, with input from the IMF and World Bank, is expected to be finalized soon
  • While details of the paper were absent the secretary added his country would likely seek to strengthen India’s commitment to “some sort of a global regulations” on crypto

India’s Economic Affairs Secretary Ajay Seth said Monday a consultation paper on cryptocurrencies is in the final stages before being submitted to the federal government.

Speaking during the country’s “ICONIC Week” event hosted by the Ministry of Labour and Employment, Seth said the International Monetary Fund and the World Bank, along with domestic stakeholders, had provided input on the paper.

While exact details of the paper were not disclosed, Seth added his country would likely seek to strengthen India’s commitment to “some sort of a global regulations” on crypto, Times of India reported.

“Digital assets, whatever way we want to deal with those assets, there has to be a broad framework on which all economies have to be together,” Seth said. “We need a global consensus on crypto regulation.”

India has a checkered history with crypto and digital assets, such as NFTs and decentralized finance protocols.

In December 2017, the RBI and the Ministry of Finance issued statements comparing crypto to Ponzi schemes. Four months later, the central bank issued a circular prohibiting commercial banks and lenders from dealing in crypto, as well as servicing entities doing business with digital assets.

The ban was eventually overturned by India’s Supreme Court in March 2020, which labeled the central bank’s circular “unconstitutional.” At the beginning of last year, India’s government said it would introduce a bill to create its digital rupee while at the same time banning “all private cryptocurrencies.”

The country finally moved to tax crypto profits by 30% in a play that was heavily criticized by market participants as being unfair and potentially damaging to its domestic digital asset industry.


Get the day’s top crypto news and insights delivered to your email every evening. Subscribe to Blockworks’ free newsletter now.


Want alpha sent directly to your inbox? Get degen trade ideas, governance updates, token performance, can’t-miss tweets and more from Blockworks Research’s Daily Debrief.


Can’t wait? Get our news the fastest way possible. Join us on Telegram and follow us on Google News.


Tags

upcoming event

MON - WED, MARCH 18 - 20, 2024

Digital Asset Summit (DAS) is returning March 2024. This year’s event will be held in our nation’s capital, where industry leaders, policymakers, and institutional experts will come together to discuss the latest developments and challenges in the ever-evolving world of cryptocurrency. […]

upcoming event

MON - WED, SEPT. 11 - 13, 2023

2022 was a meme.Skeptics danced, believers believed.Eventually, newcomers turned away, drained of liquidity and hope.Now, the tide is shifting and it’s time to rebuild. Permissionless II is the brainchild of Blockworks and Bankless. It’s not just a conference, but a call […]

recent research

Sequencers: The Key to The Rollup Investment Thesis

Research

Sequencers are one of the most explicit mechanisms in crypto for creating sustainable DAO-controlled revenue.

/

article-image

Yup’s Kabessa says “Twitter is our core competitor, rather than each other”

article-image

The Mantle testnet has been live since January and mainnet launch is estimated to occur sometime in July

article-image

Impending developments might “totally change” how Cosmos is experienced and perceived by the “broader crypto world”

article-image

Lawmakers set an optimistic tone on Wednesday, discussing room for crypto innovation in the supply chain, healthcare and national security

article-image

Binance faces 13 alleged US legal violations, while Coinbase faces just four

article-image

The SEC has seven days to respond to a court’s request for clarity on Coinbase’s lawsuit against the regulator