Cryptos are now used in many countries around the world. Given the size of the sector, the G20 governments believe they have found the solution. What if they developed a political consensus on cryptocurrencies? An ambitious project, but which could take different turns.
India Wants Global Crypto Regulation
Many countries are beginning to see the benefits of crypto assets, and India is not exempt. While some governments are still wary of these tokens, Indian officials are looking for a way to harness their potential. However, the eternal problem arises once again: regulation.
The collapse of FTX has caused a chasm in the ecosystem. Between the arrest of Sam Bankman-Fried and the numerous charges against him, the leaders are placing particular emphasis on the regulations. With this in mind, the G20 countries plan to develop a unified policy to better regulate this asset class.
On Wednesday, Ajay Seth highlighted the potential of cryptocurrencies. The Indian Federal Secretary for Economic Affairs has declared that member countries would study the implication of cryptos for financial policy, the banking sector and the economy.
Currently, India holds the presidency of the G20. While the crypto sector is largely unregulated, G20 countries believe political consensus could help jurisdictions establish a compliant regulatory framework. But to do this, the collaboration of all is highly desired. According to statements by Nirmala Sitharaman, Minister of Finance of India, global collaboration is needed to decide on the way forward.
Thus, it would make it possible to determine whether to opt for a ban or an effective regulation. India, like many countries, has certain restrictions regarding cryptocurrencies. The Reserve Bank of India, by the way, does not consider them as currencies. However, for the minister, we could exploit them only certain measures were taken.
Earlier this year, India established tax plans regarding crypto assets. These include the imposition of a 30% rate on gains from crypto transfers. Little by little, digital currencies are integrating political debates.
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