India will be offered an alternative regulation of cryptos

by in Cryptocurrency News

India

Several cryptocurrency exchanges in India will send their proposals to the authorities for effective regulation of the industry. Among the recipients of the document are Finance Minister Nirmala Sitharaman and the Reserve Bank (RBI).

The authors of the initiative included information on global regulatory practice in the package of recommendations, as well as proposed a code of conduct for cryptocurrency exchanges and outlined the potential consequences of a complete ban on digital assets.

“The industry as a whole has begun to self-regulate and implement KYC procedures to combat illegal activities. We have created a unified procedure that all exchanges adhere to, "- said the head of the Unocoin platform Satwik Vishwanath in a commentary to the publication.

According to him, from 2015 to 2018, Unocoin and the ZebPay marketplace approached RBI several times.

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“They didn't reveal what they wanted. They received our documents, listened to us, but that was the end of it,” Vishwanath complained.

In 2018, India banned banks and financial institutions from providing services to companies working with cryptocurrencies. In March 2020, the Supreme Court overturned this directive.

In December, India's Central Bureau of Economic Intelligence proposed to impose an 18% goods and services tax on cryptocurrency trading.

In February 2021, Bloomberg reported that the country's authorities would ensure a smooth transition to a digital asset ban and allow holders to close positions. At the time, former Coinbase CTO Balaji Srinivasan called the decision a $ 1 trillion mistake for India.

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In March, according to one of the high-ranking officials, it became known that the authorities would consider a bill introducing criminal and administrative liability for miners and traders.

In the same month, a source for Business Today said that India allows the possibility of blocking the IP addresses of cryptocurrency exchanges and associated firms with digital assets.