Crypto rule breakers may face fines or jail. According to persons familiar with the matter. As the country draws closer to recognizing cryptocurrencies as financial assets. Indian officials are considering assigning the country’s capital markets regulator. To monitor cryptocurrencies, as previously reported.
The government of Prime Minister Narendra Modi, which plans to introduce legislation. During the current parliament session, according to individuals. Who spoke on condition of anonymity because the discussions were private. Will most likely give cryptocurrency holders a deadline. To declare their assets and adhere to any new rules.
An anonymous source has said in a statement that the bill will refer to “cryptoassets”. Rather than “cryptocurrencies,” and that it will make no reference of a proposal. By the central bank to issue its own digital currency. Which has previously been considered.
According to reliable sources, anyone who violates the regulation may be subject to fines. Of up to Rs 20 crore ($2.7 million) or imprisonment for up to 1.5 years if proven guilty. Depending on the severity of the violation. The government may consider imposing a minimum investment limit. For bitcoin ownership, according to an earlier report by Bloomberg News. To help protect small investors from losing their money.
Although multiple attempts were made to reach a spokeswoman for the Ministry of Finance. She could not be reached for comment immediately. After the call was placed, despite repeated attempts.
The government reworked a law
According to Minister of Finance Nirmala Sitharaman. The bill has amended to reflect changes in the cryptocurrency market. Since it was first introduced. The bill originally called for the prohibition of all private cryptocurrencies . At the time of its introduction, but this was change after the bill was amend. In response to this, she stated that the government of her home nation. Had no intention of recognizing Bitcoin as legal tender in the country. A statement that was later denied by an official representative. For the administration of her home country.
Chainalysis, an Indian crypto-analysis company. Predicted that the cryptocurrency business in the country will have expanded. By more than 641 percent in the year leading up to June 2021. Following the publication of its survey results in October. Government officials are reportedly reconsidering their decision. On whether or not to tax money received from digital currencies. Which has sparked alarm about the unregulated nature of the cryptocurrency industry. Some critics have also called for stricter limits on bitcoin transactions. Many of which have proposed by some governments. Questions have been raise as a result of this regarding the uncontrolled nature of the bitcoin sector and crypto rule. All of which have resulted in an outpouring of commentary.
Prior to the start of this month, India’s Prime Minister, Narendra Modi. Had a review meeting on digital currency. During which he underlined the importance of preventing unregulated cryptocurrency exchanges. From being use as conduits for money laundering and terrorist financing.