India plans to launch crypto law in February 2022

New legislation to encourage bitcoin trading in India is currently in the process of being enacted by the government.

According to a local news station, Business Today Television, the country will most likely introduce its first cryptocurrency law in February next year.

India is already in the process of developing a legal framework that will include crucial regulatory legislation since the country intends to encourage crypto-related businesses rather than outright prohibiting them.

The bill proposes to regulate cryptocurrencies as an “asset” class under the commodities section, with specific provisions indicating that transactions and gains should be taxed in an ethical manner.

Final stages of implementation

The Indian crypto law might be implemented as early as February.
The introduction of India’s new crypto framework may coincide with the release of the country’s general budget.

Several Reserve Bank of India (RBI) officials have claimed that the legal architecture of the law is already in the final stages of implementation. Aside from that, the watchdog is currently working on fine-tuning the terms involved in order to avoid any hazards.

Officials from the Indian Finance Ministry have further stated that a separate law that promotes cryptocurrency trading as a legitimate investment is being sought and that the government is working hard to ensure that the framework includes all necessary elements that will ensure the protection of investors’ interests at all costs.

Integrating crypto in finance

India does not have an established regulatory organization that oversees bitcoin trading at this point. In the past, the Indian government discussed a measure that would have prohibited all cryptocurrency-related activity in the country.

Recent reports, on the other hand, imply that the government may have put the ban on hold for the time being and is looking into new methods to include cryptocurrency into its financial structure.

Similarly, Nischal Shetty, the chief executive officer of top Indian cryptocurrency exchange WazirX, has shared his thoughts, stating that bitcoin has now reached a stage where we are now focused on its regulatory component rather than outright banning it.

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