According to Odaily, a recent survey conducted by the New Delhi-based technology policy think tank Esya Centre suggests that India should consider revising its cryptocurrency taxation policies rather than relying on anti-money laundering (AML) regulations to mitigate the impact of high taxes. The study highlights that Indian investors are well-informed about tax regulations related to cryptocurrencies (58%) and money laundering (52%), and they show a strong preference for collateralized stablecoins (93%) over algorithmic stablecoins.
The survey, conducted in March and April this year, covered five cities: Ahmedabad, Bangalore, Delhi, Jaipur, and Lucknow, and included 1,342 highly educated respondents. The findings indicate a significant awareness among Indian investors regarding the regulatory landscape of cryptocurrencies. Notably, the study also reveals a shift in support towards equity investments due to the AML laws, with an 8% increase in preference compared to cryptocurrency investments.
The Esya Centre's research underscores the need for a balanced approach to cryptocurrency regulation in India. By revising the current tax policies, the country could potentially foster a more favorable environment for cryptocurrency investments while ensuring compliance with AML regulations. This approach could help mitigate the adverse effects of high taxation on the burgeoning cryptocurrency market in India.
