• An Indian government official has clarified that there is currently nothing that outlaws crypto in India, as long as legal procedures are followed.
• The country’s central bank, the Reserve Bank of India (RBI), has stressed that cryptocurrency does not have any underlying value.
• The Indian government has not yet established a regulatory framework for cryptocurrency, however, crypto income is already taxed at 30% and a 1% tax deducted at source (TDS) is levied on crypto transactions.

Cryptocurrency has been a hot topic of discussion in India in recent weeks, with some speculating that the country may be on the verge of outlawing the digital asset. However, an Indian government official has clarified that there is currently nothing that outlaws crypto in India, as long as legal procedures are followed.

Rajeev Chandrasekhar, who currently serves as both India’s Minister of State for Electronics and Information Technology and Minister of State for Skill Development and Entrepreneurship, made the remarks Thursday at an event in Bengaluru. He stated that „there is nothing today that outlaws crypto as long as you follow the legal process.“

The Indian government has yet to establish a regulatory framework for cryptocurrency, however, crypto income is already taxed at 30% and a 1% tax deducted at source (TDS) is levied on crypto transactions. Indian Finance Minister Nirmala Sitharaman recently said the government plans to discuss crypto regulations with the G20 countries and the government has also revealed that it is launching a crypto awareness campaign.

Meanwhile, India’s central bank, the Reserve Bank of India (RBI), has recommended a complete ban on cryptocurrencies such as bitcoin and ether. RBI Governor Shaktikanta Das said last week that „Cryptocurrency does not have any underlying value.“ The central bank has also enforced a ban on banks providing services to cryptocurrency exchanges and traders.

Despite the RBI’s stance, the Indian government has clarified that crypto is not illegal in India, as long as legal procedures are followed. As the government deliberates crypto regulations, it remains to be seen how these developments will affect the crypto industry in India.