CoinDCX CEO reveals no imminent regulation in India's forthcoming crypto policy, scheduled for June.
India is set to publish a long-awaited discussion paper on crypto asset regulation in June 2025, providing a significant milestone for the Indian crypto sector. Sumit Gupta, co-founder of CoinDCX, welcomed the news, calling it a crucial opportunity for industry players, investors, and the media to shape policy.
The upcoming paper will focus on policy frameworks for regulating cryptocurrencies, with an intent to balance innovation with financial stability and national security considerations. India's approach to crypto regulation remains cautious amid rising global interest in digital currencies. The paper will seek public comments and draw from international standards, such as those developed by the International Monetary Fund (IMF) and the Financial Stability Board (FSB).
A tax of 30% on gains from virtual digital assets (VDAs) is currently in place in India, but this tax does not confer legal recognition or official regulatory status on cryptocurrencies. Crypto exchanges are required to register with the Financial Intelligence Unit (FIU) to ensure compliance with anti-money laundering (AML) and counter-terrorism financing regulations. The Reserve Bank of India (RBI) continues to express caution, warning about risks related to money laundering, terror financing, and market volatility.
Sumit Gupta, in his views on the discussion paper, emphasized the need for a transparent and secure environment for the Indian crypto industry. He encouraged the community to work toward making India a global Web3 hub. With global developments and domestic voices converging, the upcoming paper could define India's stance on crypto for years to come.
The government's aim is to arrive at a well-informed policy by inviting feedback from all stakeholders, including the Indian crypto industry. The move comes amid rising global momentum, with policy initiatives in the United States and other countries adopting clearer crypto regulations. The lack of comprehensive laws has created a monitored environment in India but left many industry and investor concerns unsettled. The forthcoming discussion paper is a pivotal step towards a more defined regulatory era for crypto in India.
- The discussion paper on crypto asset regulation in India, due in June 2025, will outline policy frameworks for balancing innovation with financial stability and national security concerns, particularly focusing on cryptocurrencies.
- Sumit Gupta, co-founder of CoinDCX, has welcomed the upcoming government paper, viewing it as a crucial opportunity for crypto exchange, investors, and media to shape policy and contribute to India's approach to digital currencies.
- The government aims to arrive at a well-informed policy by inviting feedback from all stakeholders, including the Indian crypto industry, as the international emphasis on crypto trading, DeFi, and Web3 continues to grow.
- The forthcoming discussion paper will seek public comments and draw from international standards, such as those developed by the IMF and FSB, while the current tax setup on virtual digital asset gains does not officially recognize or regulate cryptocurrencies in India.
- Against the backdrop of rising global interest in digital currencies, the upcoming policy could potentially define India's stance on crypto for years to come, with Sumit Gupta encouraging the community to work toward making India a global hub for Web3 technology.
