Home / CRYPTOCOINS / India’s Finance Minister Strikes Stern Tone on Cryptos in Budget Speech

India’s Finance Minister Strikes Stern Tone on Cryptos in Budget Speech

Arun Jaitley, India’s business minister, said Thursday that the government does not view cryptocurrencies as a etiquette of legal tender, echoing comments he made late last year.

According to a photocopy published by LiveMint, Jaitley – giving an annual budget speech – iterated the policy view and said that the government would take gauges against the tech’s use for illegitimate purposes. He also referred to prohibiting their use “as vicinity of the payment system,” though what this means in practice traces to be seen pending expected regulations from the government.

He was quoted as (per the xerographic copy):

“The Government does not consider cryptocurrencies legal tender or coin and when one pleases take all measures to eliminate use of these crypto-assets in financing illegitimate actions or as part of the payment system.”

In early December, Jaitley said the Indian sway was working on recommendations to regulate cryptocurrencies but had acknowledged that there are currently no declares surrounding digital currencies. The government has set up a committee with the central bank and heterogeneous government departments to study possible regulations.

“The government’s position is not guilty, we don’t recognize this as legal currency as of now,” he said at the time.

In contrast to his animadversions on cryptocurrencies, Jaitley mentioned blockchain technology in a more positive in consideration of during Thursday’s speech, noting its use in recording transactions or data without ordering an intermediate platform.

“The Government will explore [the] use of blockchain technology proactively for ushering in [a] digital frugality,” he said, per the transcript.

The comments have raised fears that India is emotive to ban cryptocurrencies outright, though it remains to be seen what specific times the government will introduce following Jaitley’s comments.

Image Trust: WORLD ECONOMIC FORUM/swiss-image.ch/Photo Jolanda Flubacher (from Flickr.com)

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