Many Indians See Future In Crypto, Govt Sees Possibility Of Revenue: FM Sitharaman

More than a month after levying a heavy tax on crypto during her Budget speech, India¡¯s Finance Minister Nirmala Sitharaman has again commented on cryptocurrency.

While speaking at the India Global Forum 2022 in Bengaluru, which was held from March 7 to March 8, 2022, Sitharaman said, "Many Indians have seen a lot of future in crypto and therefore, I see a possibility for revenue in it." She also lauded the industry's move to welcome taxes on private cryptos, as per ET.

Neither Regulating Nor Banning Crypto

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Also Read: Countries Where Cryptocurrency Is Taxed

Speaking on the regulation of the private cryptos and other virtual digital assets (VDAs), Sitharaman said that consultations are on and invited the industry players to contribute to it.

She added "After the consultations are over, the ministry will take necessary steps. Currently, we are neither regulating it nor banning it but after consultation, we will be talking about it."

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Also Read: Cryptocurrency Fundraising In China Can Now Land You In Jail For Over 10 Years

About RBI¡¯s Digital Currency Plans

FM Sitharaman sees 'clear advantages' of a central bank-driven digital currency, which can enable bulk payments between institutions, large transactions between central banks of various countries, as per ET.

She said "The government had a lot of consultation with the RBI over the digital currency. We expect the currency to come out from the apex banker this year itself."

The Finance Minister also stated that the RBI would design the CBDC on its own.

As per RBI deputy governor T Rabi Sankar, the central bank has been working on CBDC for a couple of years. RBI would soon conduct pilot projects and proof of concept, according to a report in ET.

Last month, while explaining the keynote of the Budget 2022, PM Narendra Modi had also commented on CBDC, saying that it will boost the digital economy and will be as good as flat currency of the nation.

Also Read: RBI Governor Drops More Bombshells On Crypto After 30% Tax, Says Its 'Not Even A Tulip'

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