According to local sources, the Indian Government’s 2% “equalisation levy” could be extended to crypto-assets purchased from off-shore exchanges. According to a June 22 report from Economic Times, analysts are inferring that existing law could require a 2% levy to be added onto the settlement price of crypto bought from overseas-based crypto exchanges operating in India’s market. The equalisation levy was first introduced by the government in 2016, imposing a 6% tariff on payments for e-commerce supply and services to non-resident companies without a permanent establishment in India. However, the equalisation levy was updated in mid-2020. Now dubbed the “Google …

Cryptocurrency exchange Zebpay and others doing business in India will reportedly be joining IndiaTech, an association aimed at providing regulatory clarity for crypto in the country. According to a Monday report from The Economic Times, executives from some of India’s crypto exchanges said their businesses are considering joining IndiaTech in an effort to pressure the government to regulate crypto, with Zebpay confirming it would be doing so. The report comes one month after the organization published a white paper which included policy recommendations for a regulatory framework for crypto assets and exchanges in India. “The exchanges liked the approach we …

India’s government is reportedly reviewing modalities for banning or regulating cryptocurrencies in the country. According to Bloomberg Quint, reports indicate that the government is in talks with financial regulators and industry stakeholders to examine the provisions of an earlier proposal that effectively called for a blanket prohibition of crypto in India. Back in February, several reports out of India stoked fears of a possible crypto ban that has so far failed to materialize. Instead, the emerging narrative out of the country is that the authorities are considering a more nuanced approach to cryptocurrency regulations, with blanker prohibitions out of the …

The well-known Indian crypto exchange WazirX, which Binance acquired in 2019, is under investigation for alleged violations of India’s Foreign Exchange Act (FEMA). The probe was publicly announced in an official tweet today from India’s Enforcement Directorate (ED): ED has issued Show Cause Notice to WazirX Crypto-currency Exchange for contravention of FEMA, 1999 for transactions involving crypto-currencies worth Rs. 2790.74 Crore. — ED (@dir_ed) June 11, 2021 In the Indian numbering system, one crore denotes 10 million. The 2,790 crore rupees in cryptocurrency transactions under investigation, then, are worth roughly $389 million. According to a report from the Times of …

The tide may have finally turned for cryptocurrencies in India as reports indicate a softer stance by the government toward crypto. According to a report by The New Indian Express on Thursday, the government’s hostile stance toward Bitcoin (BTC) appears to be shifting toward more common-sense regulatory policies for cryptocurrencies. According to inside sources quoted by the publication, authorities have dropped earlier plans for a blanket Bitcoin ban in favor of classifying cryptocurrencies as an alternative asset class. The Securities and Exchange Board of India will reportedly be tasked with overseeing crypto regulations in the country in collaboration with the …

Some of the biggest names in the crypto exchange business are reportedly eager to capture India’s cryptocurrency trading market, even as the government is yet to issue clear-cut regulatory policies. According to Reuters, sources say Kraken, Bitfinex and KuCoin are examining the potential for setting up shop in India. Crypto exchange giant Binance entered the Indian market back in 2019, acquiring one of the country’s most recognizable cryptocurrency trading platforms WazirX. The aforementioned trio could also pursue a similar entry strategy by acquiring or forming strategic partnerships with other Indian crypto exchanges. According to the Reuters source, these global exchanges …

Indian technology mogul Nandan Nilekani has urged local lawmakers to allow citizens to speculate on crypto assets. Nilekani, the co-founder and chair of Infosys — an Indian multinational information technology firm — urged regulators to embrace digital assets and get a handle on accommodating the technology. Speaking to the Financial Times, Nilekani warned that prohibitive regulations could result in significant missed opportunities for India, asserting that a more permissive approach would let the country tap into the $1.7 trillion digital-asset market and allow "crypto guys to put their wealth into India’s economy." However, Nilekani is not bullish on an unfettered …

Its infamous circular directing banks to cease servicing crypto firms may have been overturned in the courts but India's central bank is showing no signs of softening its stance towards cryptocurrencies. Reserve Bank of India Governor Shaktikanta Das reiterated the institution's position in a recent press conference following a statement on monetary policy, stressing: “We have major concerns around cryptocurrency, which we have conveyed to the government.” The governor's comments come after the Reserve Bank of India had been prompted to clarify that banks should not continue to cite the Reserve Bank of India's now-defunct circular as grounds for refusing …

India’s central bank has issued an official notice regarding the fact that local banks are reportedly cautioning customers against using cryptocurrencies like Bitcoin (BTC). Published Monday, the notice points out that the Reserve Bank of India is aware of media reports that certain banks have cautioned their customers against crypto by referring to the RBI’s quashed, three-year-old circular. “Such references to the above circular by banks/ regulated entities are not in order as this circular was set aside by the Hon’ble Supreme Court on March 4, 2020 in the matter of Writ Petition,” the notice reads, emphasizing that the circular …

Reports are emerging that India’s government may be reconsidering its stance on cryptocurrencies with the formation of a new regulatory panel. A May 19 report in the Economic Times, cited three sources privy to discussion on the formation of a fresh panel of experts with a view to regulating cryptocurrency trading in India. The move comes amid increasing support for overturning recommendations made by a committee led by former finance secretary Subhash Garg in 2019 for a blanket ban on crypto assets on the grounds they have become outdated. The report quoted an unnamed official with knowledge of the matter …

U.K.-based crypto banking platform Cashaa is launching an initiative aimed at bringing crypto enthusiasts together to provide food supplies to those most affected by the COVID-19 pandemic. According to an announcement from Cashaa on Tuesday, the platform’s "Crypto for COVID" plan involves building a community of crypto users who will give underprivileged families in India the food they need for a month. The firm's India arm Unicas is leading the on-ground initiative and has already helped more than 1,000 families in need. The program has also received support from crypto exchange KuCoin, who pledged to feed 2,000 families. India recently …

IndiaTech.org, an industry association representing India’s consumer internet startups and investors, wants to provide clear definitions for the cryptocurrency industry. On Wednesday, the association released a white paper including a policy proposal with recommendations for a regulatory framework for crypto assets and crypto exchanges in India. The proposed framework suggests to define cryptocurrencies like Bitcoin (BTC) as digital assets and not currencies. “Define cryptocurrencies as digital assets and not currencies and grant them recognition as digital assets like gold, stocks, or marketable securities,” the proposal reads. The framework further recommends introducing a registration system for India-based cryptocurrency exchanges as well …