A report on November 8 stated that the Centre is likely to move an amended law on cryptocurrency at the start of Parliament’s Winter Session.
According to the news outlet, authorities from the finance ministry are attempting to change the planned cryptocurrency legislation. In an earlier draught of the bill, the usage of digital currency was proposed to be prohibited in India.
According to the article, authorities from the finance ministry are attempting to “speed rush” the updated cryptocurrency bill.
The proposal is anticipated to be taken up during the Winter Session of Parliament, which runs from November 29 to December 23.
Another news channel reported earlier in the day that the administration will choose a “middle road” on the cryptocurrency measure.
“A balance has to be found,” a source told the report, adding that a final decision on the proposed law’s details would be made soon. “A middle path that balances the concerns of all stakeholders is more likely.”
The measure would also take into account technological advancements in the digital asset field, which the previous draught did not.
The Reserve Bank of India had previously outlawed cryptocurrency, but the Supreme Court overturned the order in March 2020.
The government, which has discussed regulating cryptocurrencies, has stated that it is in discussions with several parties. The government, according to Finance Minister Nirmala Sitharam, is “not against cryptocurrency and will instead look into ways it can help the country’s fintech sector.”
The report comes only days after the Securities and Exchange Board of India (Sebi) prohibited financial advisers from advising on unregulated instruments such as cryptocurrency, digital gold, and other similar items.
“It has come to the notice of SEBI that some registered investment advisers are engaged in unregulated activity by providing platform for buying/ selling/ dealing in unregulated products including digital gold,” the regulator said on October 21.
According to a survey by Chainalaysis, India’s cryptocurrency market grew by 641 percent in the past year, propelling the expansion of digital currencies in Central and Southern Asia.
According to the survey, Pakistan’s cryptocurrency market grew by 711 percent last year. The Global Crypto Adoption Index includes three nations from the Central and Southern Asia and Oceania (CSAO) region: Vietnam at number one, India at number two, and Pakistan at number three.