The Indian government has hinted at how it’d move to regulate cryptocurrencies instead of an outright ban.
Talking within the nation’s upper house, the Rajya Sabha, earlier today on Tuesday, a minister specified that the aim would be to curb illegal crypto transactions and bar their use in payments.
“The government doesn’t consider cryptocurrencies tender or coins and can take all measures to eliminate the use of those cryptocurrencies in financing illegitimate activities or as a part of the payment system,” Minister of State for Finance Anurag Singh Thakur added while addressing the issue and answer session.
The Indian cryptocurrency community was alarmed on Friday after a bulletin from India’s lower house (the Lok Sabha) revealed the government’s plans to table the Cryptocurrency and Regulation of Official Digital Currency Bill, 2021, seeking a ban on “private cryptocurrencies.” The bulletin, however, didn’t define the terms, leaving the doors open for interpretation.
While the newest comments offer some clarity on the govt’s plans, the bill’s contents are still unknown.
India’s crypto businesses have been resurgent since the central bank’s ban on banking services for virtual asset firms was overturned by the Supreme Court last spring.
Thakur’s response also indicated the govt is “proactively” exploring blockchain technology to “usher within the virtual ecosystem.”