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In the most recent update on the legislation’s development, India’s Finance Minister stated that the forthcoming digital currency bill would try to shield investors from fluctuations in digital currency markets.
Indian Minister of State for Finance and Corporate Affairs, Anurag Thakur, said the government would put investors at the forefront of their legislative effort, though it remains unclear exactly how they intend to protect investors.
“The fluctuations in the price of cryptocurrencies are so high—unlike that of fiat currencies—and that has an impact on the investors. So we need to keep investor protection in mind while framing a law.”
The long-awaited digital currency bill was supposed to be introduced to parliament last week. The implementation, however, was postponed, which the minister attributed to local elections.
Despite ministerial protests, the Indian digital currency group remains sceptical of the government’s intentions.
According to Zakhil Suresh, founder of SuperStox, there are concerns that the government is reserving the power to outright block digital currency: “The minister was specifically asked if the government was considering banning cryptocurrency, but he avoided the question. Why create too much intrigue about this? Simply state your intentions, as the government does in any other bill.”
The bill is also set to be introduced during the summer session of parliament, postponing the long-delayed legislation’s effects any longer.
There is also the possibility that the legislation will be enforced explicitly by the Indian President by an ordinance, though this is considered to be the less possible direction.
The final steps are set to build on the government’s tough stance on the industry in previous rounds of draught proposals, including criminal fines of up to ten years in jail for the actual or indirect use of digital currencies.
The Indian government’s next step is now being anticipated by the digital currency world.