• India seeks to give priority to the CBDC created by the RBI.
• With the crypto bill, taxes will be imposed on decentralized transactions.
Since cryptocurrencies increased their purchasing power, a crypto bill plan has been built in India. According to reports, these legal plans have sought to limit cryptos in South Asia. However, they also seek to open the way to new technologies based on Blockchain.
The legal plans based on cryptocurrencies will be discussed on November 29 in a winter parliament approved by the national authority. This session will seek to address the main problems about cryptos in India and how they can take advantage of the vital technologies of the Blockchain network.
Parliament winter session in India opens
India has led South Asia’s top crypto regulators, imposing one bill after another to slow the crypto boom. However, their anti-crypto plans have been stopped, but this could change after the parliament winter session, where the crypto bill will be discussed.
Local media report this session will discuss the centralized currency created by the RBI and its use. But regulators will analyze the crypto bill to put them into circulation in the coming months. But they will also try to take advantage of the technologies offered by Blockchain so it will not be a total regulation against cryptos.
These legal projects are motivated by the consistent reports of crypto scams and illegal transactions that have dominated the country’s interior. India tries to curb the misuse of cryptocurrencies, so its citizens are not economically affected.
In early November, an Indian minister spoke about crypto-scams and used them in misleading advertisements. The minister indicates that cryptocurrencies are not safe, much less offer a transparent system. Therefore they should be prohibited.
Crypto bill in India could affect virtual trading
In previous months India has spoken about possible crypto regulations but had not come up with anything concrete until they launched their centralized token. Everything indicates that the cryptocurrency bill focuses on making space for the CBDC created by the RBI in the virtual space. This way, citizens will be forced to leave cryptos such as Ethereum or Bitcoin aside to operate with the native CBDC.
The cryptocurrency bill will also talk about taxes on crypto transactions to discourage Indians from these operations. But regulators have also thought about creating taxes on GST with cryptocurrencies.
Less than a week before the parliament was opened, where the cryptocurrency bill will be discussed, operations in India have increased dramatically. Citizens may feel desperate that the government created a reform that will kill crypto transactions in decentralized currencies.
However, they are only speculations that speak about what possibly happens in India after the parliament, but those involved in the session could change their minds. These anti-crypto laws in India could possibly affect the virtual market currently in a downtrend.