RBI and SEBI Collaborate on India’s Crypto Policy, Discussion Paper Expected Q3 2024
– The Reserve Bank of India (RBI) and the Securities and Exchange Board of India (SEBI) are working together with an inter-ministerial group to create a comprehensive crypto policy for India.
– A discussion paper, detailing the government’s stance on cryptocurrency regulations, is set to be released before September 2024.
– The current regulatory framework focuses on anti-money laundering (AML) and counter-terror financing (CTF) measures, extended to crypto assets in March 2023.
– This initiative follows India’s G20 presidency, which endorsed IMF and Financial Stability Board guidelines against blanket bans on crypto activities.
SEBI appears open to private virtual asset trading, contrasting with the RBI’s cautious approach due to macroeconomic risks. This divergence underscores the significance of the upcoming discussion paper, which aims to balance these perspectives and shape a balanced regulatory framework.
This collaboration marks a significant shift in India’s approach to cryptocurrency, highlighting a move towards a nuanced regulatory strategy. The anticipated policy could potentially reshape the crypto landscape in India, fostering a more inclusive environment for digital assets.
