Parliamentary panel’s meeting on Cryptocurrency ends; ‘it can’t be stopped but regulated’

Parliamentary Standing Committee on Finance on Monday held a meeting with industry associations and experts on the matter ‘CryptoFinance: Opportunities and Challenges’ and summed up that cryptocurrency cannot be stopped but it must be regulated.

“There was a consensus that a regulatory mechanism should be put in place to regulate cryptocurrency. Industry associations & stakeholders were not clear as to who should be the regulator,” ANI said quoting its sources.

The most serious concern raised by MPs was the security of investors money. One of the MPs also expressed concern over full-page cryptocurrency advertisements in national dailies. Experts said that cryptos are some sort of investors’ democracy.

The members of the Parliamentary Standing Committee on finance now want government officials to appear before it and address their concerns, the sources told ANI.

Speaking to Republic Media Network, Market expert Ajay Bagga said, “The government will try to regulate the domestic use of crypto. The government wants to embrace the technology…There will be taxation of it there will be GST. It may be under SEBI not RBI. RBI may come out with central currency.”

Currently, there are no laws to govern the budding industry, which has seen a sudden surge in the past few months. India has two crypto unicorns namely CoinSwitch, Kuber and CoinDCX. 

PM Modi chairs meeting on cryptocurrency & related issues

This development comes after Prime Minister Narendra Modi on Saturday chaired a meeting for cryptocurrency and related financial issues with the experts. During the meeting, a detailed discussion was held on every aspect concerning the use of cryptocurrency.

The illegal use of cryptos to fund terror groups and for money laundering was also discussed. “It was also discussed that unregulated crypto markets cannot be let to become avenues for money laundering and terror financing. Govt is cognizant of the fact that this is an evolving technology hence the government will keep a close watch and take proactive steps,” sources informed further.

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