Indian crypto investors can reportedly incline a particular timeframe to declare their crypto holdings, and should then hold their assets on crypto exchanges regulated by SEBI.
According to reports from native media, the Indian government won't move for an outright ban on crypto and can instead regulate the world.
On Nov. 23, Cointelegraph rumored that the Indian government was considering a bill proposing the creation of an official digital currency whereas imposing a ban on all “private” cryptocurrencies.
The news sparked panic marketing on native crypto exchange WazirX the subsequent day, and also the imprecise expression on the bill and lack of clarification from the govt. have since left several onlookers divided on the prospects for crypto in India.
But Indian news outlet NDTV rumored on Dec. 2 that it had obtained details of a cupboard note current within the government relating to the planned crypto bill.
NDTV newsperson Sunil Prabhu same that the note contained suggestions to manage cryptocurrencies as crypto assets, with the Securities and Exchange Board of India (SEBI) overseeing the regulation of native crypto exchanges.
According to Prabhu, investors are going to be given a definite timeframe to declare their crypto holdings and should transfer them to exchanges regulated by SEBI, that suggests that non-public wallets could also be prohibited. He added that this can be a part of a push from the govt. to forestall concealing and coercion finance.
Prabhu also said that the govt. can place its plans for a central digital bank currency (CBDC) with the reserve bank of India (RBI) on hold whereas it focuses on the crypto sector. it'll not permit any crypto assets to be recognized as currencies or monetary system, suggesting that it's attending to offer a transparent distinction between the two:
“[Cryptocurrency] as a legal tender will not be accepted. That is a clear no. I think that that is what even the prime minister in his deliberations at that meeting made absolutely clear to ensure that does not take place.”
“I think they will do it [CBDC] as a standalone virtual currency for the run batted in at a later stage, therefore you'll positively expect a virtual currency presently, however it'll ensue at a unique time,” he added.
( Brian Quarmby, Cointelegraph, 2021)