Indian PM urges democratic countries to collaborate on cryptocurrencies

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India appears to be taking a progressive stance on Bitcoin (BTC). All the more so as the country is trying to reach a uniform point of view on the categorization and legality of this new asset class.

Amid a slew of cabinet meetings, industry debriefings, and growing banking issues, the country’s prime minister has spoken out more and more about cryptocurrencies.

Prime Minister Narendra Modi at the Sydney Dialogue called for democratic countries to work together to get the most out of cryptocurrencies and blockchain technology. He also said they should not be used for unethical purposes.

Prime Minister Modi spoke on cryptocurrencies in the context of money laundering and terrorist financing at a high-level meeting on Monday. The general atmosphere around the meeting suggested that strong regulatory action was underway, albeit forward-looking and progressive in nature.

The Indian government has already taken steps to establish a strong regulatory infrastructure for the fast growing sector. He had many high-level discussions, including one between the Central Bank (RBI), the Ministry of Finance and the Home Office, as well as with crypto experts and important participants from Indian industry. and foreign.

Despite the objective view offered by some government ministers, RBI Governor Shaktikanta Das is still not convinced. On Tuesday, the executive reaffirmed its position that allowing trading of cryptocurrencies could jeopardize any financial system because they are not supervised by central banks.

Related: Paytm, India’s Leading Payments Company, Reportedly Consider Bitcoin Services

Despite the growing popularity of cryptocurrencies in India, lawmakers are still divided over the need for a comprehensive regulatory system. A Bitcoin bill is expected to be presented to the Indian legislature in the next session. Many people hope this will bring some peace and clarity to investors and organizations.

As reported by Cointelegraph, India plans to reduce Goods and Services Tax (GST) on cryptocurrency exchanges from 18% to 1% through regulatory reclassification. In addition, the president of the central bank of Peru recently said that his country will team up with India and two other countries to create its own central bank digital currency, although the regulation of crypto is still unclear in India.