Indian Government Official Signals Possible Implementation of Concrete Crypto Regulations by Mid-2025
Measured Approach: Indian Government Treads Carefully Into Web3 Exploration, Eying Use Cases with Curiosity.
Despite the anticipation following the collective decision of G20 nations, including India, to adopt a crypto roadmap shaped by recommendations from global financial bodies, the actual implementation of these regulations appears to be more distant than expected. According to a recent disclosure by a senior government official, India might witness the introduction of a Web3-specific crypto bill around mid-2025. This implies that there could be an additional eighteen months of deliberation before the final set of regulations for Web3 firms is established in the country.
Jayant Sinha, the Chair of the Standing Committee on Finance in India’s Parliament and a parliamentarian from the ruling Bharatiya Janata Party (BJP), shared this information during the India Blockchain Week in Bengaluru. Acknowledging the dual responsibility of regulators and policymakers,
Sinha emphasized the need to strike a balance between encouraging innovation and ensuring safety. He expressed that this equilibrium would evolve over the next 12 to 18 months, shedding light on the thoughtful and deliberative approach the Indian government aims to adopt in formulating comprehensive regulations for the Web3 space.
The parliament official said that the government is taking calculative steps towards engaging with Web3 because it is still curious to see the usecases of related technologies that could empower the nation.
“Global standards are still evolving and 2024 is the year of elections around the world. Many important countries, whether it’s the US, the UK, India, are going in for elections. So, I’m not sure in 2024 the standards will develop. We also have to see what’s going to emerge from the (crypto) meltdown about whether some of these companies are going to survive,” Sinha added.
This update from a government official comes just days after Indian finance minister Nirmala Sitharaman gave soft updates on what’s next for Web3 in India.
Despite the legal clarity around crypto, India topped a list of 154 countries for showing the most rapid adoption of cryptocurrencies on a grassroot level. The report compiled by Chainalysis in September also named Nigeria and Thailand among nations showing brisk crypto adoption.
