There are reports that the Indian government will unveil a draft of cryptocurrency regulations before the year ends. This India cryptocurrency regulation draft comes amid India’s hesitation to fully accept the crypto sector. According to a report by Quartz on Tuesday, a panel has been commissioned by the finance ministry of India to regulate the guidelines and norms for cryptocurrency trading in the country. In addition, its blockchain industry is prepared to reveal its planned draft next month.

According to Quartz on Tuesday, a panel commissioned by the finance ministry is working on guidelines for cryptocurrency trading. The blockchain industry is also set to reveal its draft next month. This news appeared in a counter-affidavit filed by the government in a Supreme Court case. The case involves crypto exchanges challenging the central bank’s ban from earlier this year. The affidavit states: “Serious efforts are ongoing to prepare the draft report and bill on virtual currencies, distributed ledger technology, and a digital currency framework for India.”

India Prepares Crypto Regulation Draft

The affidavit reveals that the draft report and bill will be handed to the ministry of finance’s inter-ministerial committee. After that, the committee will hold a meeting in December to discuss the draft’s contents.

The inter-governmental committee was formed by the finance ministry in early 2017. It was tasked with studying global regulatory and legal frameworks for virtual currencies. The committee’s mandate includes proposing a regulatory framework for cryptocurrency use and trading in India.

Besides the finance ministry, the committee includes the ministries of economic affairs, budget, and taxation, as well as representatives from the central bank.

The panel is chaired by Subash Chandra Garg, secretary of the Department of Economic Affairs. It will reveal its regulatory approach while the government considers banning private cryptocurrency use in the country.

Committee to Review Crypto Guidelines

The current ban by the central bank, which barred banks from offering services to cryptocurrency exchanges, has adversely affected the growth of the sector in India.
In conclusion

The government of India is currently planning regulations, norms, and guidelines for the country’s cryptocurrency sector. The India cryptocurrency regulation draft is expected to be revealed by a panel set up by the finance ministry next month. This surprising news comes at a time when India’s government is thinking of placing a ban on the usage of private cryptocurrencies in the country.

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