TL;DR Breakdown
- The Indian PM thinks states should regulate virtual assets.
- He is calling upon Democratic states to bring their efforts together to streamline digital assets.
Indian Prime Minister Narendra Modi is urging Democratic countries to prevent cryptos from straying the youth. The majority of Indians began investing in digital assets during the lockdown. The handsome returns attracted them. Presently over 100 million Indians hold virtual assets. The number of traders exceeds one million.
The citizens have been lured by the several commercial campaigns run by the affluent crypto exchanges. Still, cryptos are highly volatile, and people cannot ignore the fact.
Streamlining digital assets
Mr Modi is requesting the states to join forces to save the young generation from making financial blunders. He said that while addressing an online cyber security forum. The PM noted that bitcoin and other digital currencies are risky. He says this as India plans to regulate digital currencies. Several critics believe that the nature of cryptos could lead to widespread criminal activities.
The young generation of India has been at the forefront of a debate around crypto commercials in the state. As digital assets like Bitcoin, Ethereum, Shiba Inu, Doge, and Solana continue to progress, masses are adopting cryptos.
The leading exchanges have seen a significant rise in the number of traders. It is estimated that the platforms have observed an increase of traders between 300-500%. Individuals make money simply by claiming positions in different cryptos.
Crypto ban
Three years ago, India prohibited crypto transactions. However, the country’s top court overturned the ban in less than three years. The move has seen digital assets gaining popularity in the country. The youth have been at the centre of cryptocurrencies.
Now India stands closely behind the United States, Russia, and Nigeria, with over 100 million Indians adopting cryptos. Investment portal BrokerChooser made the report less than two months ago.
The government is now planning another ban. There are a lot of uncertainties about how citizens will receive strict measures. Still, the country is planning to prohibit crypto exchanges from misleading people.
The Prime Minister notes that democracies should make resolutions before it’s too late. He insists that they need to devise measures to protect their citizens. He believes innovation is good, but citizens need to be protected against platforms soliciting customers.
Infact Modi’s government supports innovation. Since it took over power in 2014, it has been using technology. The PM urges summit democracies to utilize technology to enhance democratic ideals and values.
India’s government is planning on a bill that would regulate cryptocurrencies. Reports indicate it will be presented before the end of the year.
The highly anticipated bill will possibly ban the use of virtual assets for transactions. It is expected that investing in cryptocurrencies will remain legal.
