The government is likely to move the long-awaited cryptocurrency bill during the upcoming winter session of Parliament, reported CNBC-TV18 on Monday. The winter session will begin on November 29 and will go on till December 23rd with 20 working days in the session.
While the draft that circulated earlier this year had proposed a ban on cryptocurrency, the government is now working to modify the bill to adopt a more liberal approach. The Finance Ministry officials are trying to “fast track” the modified bill, as first reported by CNBC-TV18.
“A balance has to be found … A middle path that balances the concerns of all stakeholders is more likely,” a government source was quoted in media reports.
“The continuous advertisements by crypto exchanges on television, many of them misleading & false has accelerated the process of govt introducing a new legislation with stringent regulations or ban,” said Jay Sayta, a technology lawyer based in Mumbai.
Several MPs and opposition leaders across party lines had pointed out the need to bring regulation for the crypto industry in light of the misleading nature of ads.
The continuous advertisements by crypto exchanges on television, many of them misleading & false has accelerated the process of govt introducing a new legislation with stringent regulations or ban. https://t.co/Z5pf9R8HOp
— Jay Sayta (@jnsayta) November 8, 2021
The Cryptocurrency and Regulation of Official Digital Currency Bill, 2021 was scheduled to be tabled during the budget session earlier this year. However, it was held back as it didn’t address all concerns. Later, a ministerial panel was formed to study the rules around such currencies.
In August, the finance minister said the draft is awaiting approval of the cabinet. The government is also examining the taxation aspects of crypto assets.
RBI, the country’s central bank is currently working on a phased implementation of central bank digital currency from December 2021. Earlier in June, the central bank governor Shaktikanta Das told reporters that the bank had conveyed its concerns to the central government.
