- Friday, April 26, 2024
By: Shubham Ghosh
INDIAN prime minister Narendra Modi will take a final call on the regulatory framework for cryptocurrencies in the country amid conflicting viewpoints on the matter, The Financial Times daily on Friday (10) reported.
The country’s finance ministry has finalised the draft bill for cryptocurrencies but certain sections of the government are in favour of more detailed talks, the report said citing two sources familiar with the development.
The officials were likely to meet at a later time to form a final consensus on the bill, the report said. The bill is also expected to be tabled in the ongoing winter session of the Indian parliament.
Reuters tried to contact the finance ministry but did not get any response immediately.
Earlier this week, Reuters said in a report that the proposed legislation to ban the use of cryptocurrencies as a method of payment in India also wants to make those who violate the law subject to arrest without a warrant.
Modi, who recently expressed apprehension over cryptocurrencies saying it could ruin the youth, has said that emerging technologies such as cryptocurrencies should be used to empower democracy and not undermine it.
Policymakers in India feel unregulated transactions in digital currencies could harm macroeconomic and financial stability. The government, after planning to ban cryptocurrencies initially, is considering legislation to regulate their use.
Modi spoke on the matter while attending a virtual summit on democracy hosted by US president Joe Biden on Thursday (9). He said, “We must … jointly shape global norms for emerging technologies like social media and cryptocurrencies so that they are used to empower democracy, not to undermine it.”
There are an estimated 15 million to 20 million cryptocurrency investors in India, with total crypto holdings of around 400 billion Indian rupees ($5.29 billion), according to industry estimates, Reuters added. The government, however, does not provide any official data.
