So finally it looks like our government wants to do something positive with the cryptocurrency ecosystem of India. As the first anniversary of RBI’s banking ban for crypto companies is approaching, some positive news is coming from New Delhi. According to latest information provided by Crypto Kanoon, there have been at least two developments in the recent days suggesting that stance of the government on crypto is getting positive. Let’s take a look at each of those developments.
Crypto representatives invited to govt. event
On 25th of March NITI Ayog – the premier planning body of the government – organized a FinTech event in New Delhi. It was called FinTech Conclave 2019, and it was attended by the representatives from all from almost all bodies under the purview of Finance Ministry. It had representatives from SEBI, RBI, Income Tax Department, Revenue Department, etc. Since it was a fintech event, representatives of major fintech startups were also present at it. But most surprising was the presence of representatives from all major cryptocurrency startups of the country. They had been invited there by NITI Ayog, and according to Crypto Kanoon feedback was taken from them also on opportunities, risks, challenges and overall nature of crypto space.
It’s indeed a welcome step on the part of the government to at least hear the voice of companies operating in this space. It’s also a sign that our government is planning at least a few constructive things for our space.
RBI coming with regulatory sandbox
The other positive development to take place is an announcement from the Reserve Bank of India. The Central Bank has announced that it will be coming with a regulatory sandbox for fintech startups of the country within 2 months. A regulatory sandbox is basically a controlled environment provided by the regulators to companies of any particular sector for operations. The purpose of this controlled environment remains to closely observe the potential and risks involved before allowing the companies to go mainstream with a proper regulatory framework. If crypto is involved in that regulatory sandbox, we are highly likely to get a positive cryptocurrency regulation in place (though nothing can be guaranteed at this point).
As the deadline given by Supreme Court to government for providing a crypto regulatory framework ends tomorrow, signs are appearing that there will be something positive coming from the government after elections. The hearing in SC is likely to take place tomorrow, and we’ll let you know what happens there, so don’t forget to check back.