“India: I am the chair country, you should listen to me first!”
Under India’s presidency of the Group of 20 (G20), the country is finally ready to provide the much-awaited regulatory clarity on cryptocurrencies.
As India prepares to host the upcoming G20 summit for the first time, regulation of crypto will be a major focus.
Ahead of a meeting of the world’s most influential countries scheduled for later this week, Indian Finance Minister Nirmala Sitharaman confirmed that discussions are ongoing among G20 members to develop a comprehensive global framework on cryptocurrencies.
1. "Active discussions are ongoing"
In February this year, India’s efforts to establish a regulatory framework for the asset class achieved a breakthrough as the country chairs the Group of 20 (G20), winning support from the International Monetary Fund and the United States.
During this period, Sitharaman and US Treasury Secretary Janet Yellen discussed strengthening the capacity of multilateral development banks, addressing global debt vulnerabilities and crypto assets on the sidelines of the G20 Finance Ministers' Meeting.
Most recently, Sitharaman said in an announcement during the Global Fintech Festival on September 5 that “active discussions are ongoing” regarding cryptocurrency regulation in the country.
“The Indian (G20) presidency has put on the table key issues related to regulation or the understanding that there should be a framework to deal with issues related to crypto assets.”
The finance minister stressed that “rich documents” covering a range of topics are currently being considered from organisations such as the International Monetary Fund, the Financial Stability Board and the OECD.
She also confirmed that both the IMF and the Financial Stability Board have submitted comprehensive papers on crypto.
Sitharaman stressed that cryptocurrencies are both a potential threat and an opportunity. The minister stressed the importance of international cooperation in designing a responsible financial ecosystem that can effectively regulate crypto on a global scale.
2. Indian Cryptocurrency Ecosystem
The Reserve Bank of India has consistently advocated for a ban on cryptocurrencies, even comparing them to Ponzi schemes.
Despite the government’s hostile stance, adoption is rising in India, with a recent report suggesting the country could see more than 156 million users by the end of 2023.
Conclusion
At a critical time when India holds the G20 presidency, we are seeing active discussions on cryptocurrency regulation around the world.
The core of this initiative is to protect ordinary investors. In many developing countries, the financial system and investment concepts are not yet popular enough, and they are easily manipulated by evil capital and suffer vicious losses. Strengthening encryption supervision is to ensure that they enjoy transparency and security in this emerging field.
Although the cryptocurrency market is full of opportunities, it is also accompanied by potential risks.
India is actively promoting international cooperation and working towards designing a globally responsible regulatory framework that will provide more confidence and protection to ordinary investors in the future.
As the cryptocurrency market grows, we expect to see more countries take similar initiatives to ensure the sustainable development of this emerging sector and bring more opportunities to investors.
✏️Disclaimer: This article is for reference only, DYOR
📄Source: Alpha Investment Research
【Previous recommendations】
"Offended" Vitalik Buterin? Sun Ge is not afraid of trouble, Solana urgently clarifies, where will MakerDAO go in the future?
It has to be Justin Sun! He bought 2% of Luckin Coffee shares and called it the Bitcoin of the new consumption field!
Binance Changpeng Zhao (CZ) bluntly said: Bitcoin is traceable, but cash is not, do you understand?
「Alpha DAO」
A Chinese Web3 community that does not want to be cannon fodder;
Track the latest hot spots and interpret industry tracks;
Take advantage of the wind and share common prosperity.
