Sooner or later, cryptocurrencies in India may get approved with terms and conditions. This is because the Reserve Bank of India (RBI) had a meeting with important people related to the cryptocurrency business on 2 November. After this, the central government held a meeting with RBI and other agencies on Saturday in this regard.
According to the information, RBI had called this meeting at very short notice. The meeting convened on November 2 was attended by senior RBI officials, executives from three crypto exchanges, crypto brokers, and officials from India Tech. All of them prepared a white paper on crypto. It is believed that even though crypto is completely banned in China, it will be approved in India with some controls and conditions.
Discussion on KYC framework and possibilities of illegal transactions
The KYC framework and apprehensions of illegal transactions were also discussed in this meeting. In addition to concerns about money laundering, the RBI is also concerned about potential financial instability if crypto volumes increase over time. About 20 million investors in India are estimated to hold crypto coins worth $ 4-5 billion. Well, now there are thousands of cryptocurrencies, not just bitcoins. If the supply of crypto continues to grow, it could be a challenge to monetary policy at some level.
Many people in the industry want the cryptocurrency to be bought only from the exchanges that are in India. Like banks, these exchanges should be allowed for FDI (foreign direct investment) up to 74%. Fund transactions under the guise of crypto have been voiced by many regulators outside India as well.
Rules are not easy to enforce
One banker said that enforcement of crypto regulations is not easy. This would require the disclosure of all crypto holdings in the hardware. Only those businesses which can be monitored will be allowed. The industry wants crypto to be classified as a current asset and not a currency so that it can be easily converted into cash. At the same time, the industry is also hoping that the government and RBI will clear the cloud of doubts on some other issues.
Will focus on many things
Among the key points related to the issue is whether the gains made should be treated as capital gains or business income and taxed.
Will rigging buying crypto from foreign exchanges and other sellers violate the Foreign Exchange Management Act (FEMA) and who will regulate crypto?
Since India has many financial regulators like IRDAI for insurance, SEBI for mutual funds and the stock market, Reserve Bank for banking and other payments.
So it is not yet decided who will regulate it.
Exchange is only a platform
Currency exchanges say that they are just a platform to reconcile buyers and sellers. Do not buy and supply crypto. Under the recent rules, if someone brings coins from abroad and sells them in his country, then it is not possible to easily trace them.
Crypto prices fluctuate a lot. For example, in the last 24 hours, the price of a currency called Husky has increased by 67 thousand percent. This brings its market cap to $1.5 billion. Earlier the prices of SQUID, Shiba, and Cocoswap had also increased similarly.
Prime Minister had a meeting on Saturday
Two days ago, the central government had a meeting on the issue of all illegal crypto exchanges operating in the country. In this, Prime Minister Narendra Modi asked for strict action against these crypto exchanges which became the means of terror funding for terrorists and money laundering for black money hoarders. On Saturday, the PM held a meeting with the Ministry of Finance, RBI, and the Ministry of Home Affairs regarding this. In this, Modi asked what steps have been taken to regularize the cryptocurrency.
Review on the issue of cryptocurrency
In the meeting, all the issues related to cryptocurrency and related were reviewed. It was decided that opaque advertising misleading the youth in the name of cryptocurrency should be stopped. In the meeting, the issues that emerged after consultation with crypto experts from across the country and the world were discussed by RBI, Ministry of Finance, and Ministry of Home Affairs.
RBI Governor Shaktikanta Das had warned
Two days ago, RBI Governor Shaktikanta Das had warned about digital currency. He described it as a very serious matter and indicated that some big steps would be taken soon. RBI and stock market regulator SEBI are working together to prepare a framework to tighten the noose on cryptocurrency.
The claim was made on 3 November
In fact, on November 3, several organizations and crypto businessmen put together two full-page advertisements in an English newspaper. In this, it was claimed that crores of Indians have invested 6 lakh crore rupees in crypto. It is regulated. The regulation has the Internet and Mobile Association of India (IMAI) and others that are self-regulatory bodies.
Edelweiss Mutual Fund CEO Radhika Gupta said that financial assets cannot be regulated by IMAI. It is not known what the investor base and exact size of the industry is, he said. If it is an investment of Rs 6 lakh crore, it should be regulated very quickly.
Putin said - Modi is a true patriot: Russian President praised the PM of India, said - the future belongs to India
Russian President Vladimir Putin has praised Prime Minister Narendra Modi. He called PM Modi a true patriot. According to the news agency Reuters, Putin said that India has achieved tremendous success
Many jobs will be done now, Twitter stirred up by the decree of new boss Elon Musk
Elon Musk has hinted at layoffs just days after he took ownership of the social media platform Twitter. There are media reports that Musk has asked management to prepare a list of people who could be
IPL 2024: After the match between Kolkata and Hyderabad, Shahrukh Khan made a mistake on the field, apologized with folded hands
Shahrukh Khan's team KKR achieved a spectacular victory in the IPL match between Kolkata Knight Riders (KKR) and Sunrisers Hyderabad (SRH) on Tuesday. This was the first
PM Modi inaugurated the 108th Indian Science Congress: Said- Big change is possible with technology; Women's participation in science doubled
Prime Minister Narendra Modi virtually inaugurated the 108th Indian Science Congress on Tuesday. The focus of the event was on women's empowerment as well as science and technology. PM Modi said that
Waris Punjab's Mukhi Amritpal's U-turn: said- did not threaten Amit Shah, agencies can get me killed; Congress MP said – the child got scared
Waris Punjab De chief brother Amritpal Singh has taken a U-turn on his statement threatening Amit Shah. Amritpal said - I did not threaten the Home Minister in any way. Amit Shah has threatened me.
QS World University Rankings 2022: IISc Bangalore again the best in the country, also won the title of the emerging institution in South Asia
The Indian Institute of Science (IISc) Bangalore has once again been adjudged the best in the country and the emerging institute in South Asia. IIT Bombay is second and IIT Delhi is third in the
The final episode of 'Stranger Things 5' sent chills down fans' spines, and Netflix even crashed for a short time.
The final episode of the series 'Stranger Things' Season 5 has been streamed on Netflix. Fans were so excited about the final episode that the streaming platform even crashed for a short time at
Accused of stabbing Nupur after watching the video: 6 times stabbed in Sitamarhi; When Nupur's name was removed, the police registered an FIR.
After Rajasthan and Maharashtra, Nupur Sharma's supporter has now been attacked in Bihar. Ankit Jha of Sitamarhi has alleged that Nupur Sharma was stabbed after watching the video. Ankit was attacked
India-Sri Lanka Relations: India will help in building an energy hub in Sri Lanka, an agreement made between the two countries
India, working on several fronts regarding energy security, has proposed to make Sri Lanka a hub of renewable energy. It was agreed upon in the meeting between External Affairs Minister S Jaishankar
Krishna Abhishek danced to the song of Mama Govinda, Kapil Sharma shared the video and wrote this thing
These days Kapil Sharma has gone abroad for his show. Recently Kapil has performed. Now Kapil has left for Toronto. Meanwhile, Kapil has shared a video of Krishna Abhishek on his Instagram story. In
