India Will have Room to Experiment Blockchain and Cryptocurrency, Says Finance Minister Nirmala Sitharaman

The profits generated from trading digital assets from the past few months, it is quite impossible for anyone to ignore this industry anymore. Considering the potential of blockchain and cryptocurrency, Indian Finance Minister Nirmala Sitharaman seems to be quite optimistic about the technology. 

In a media event held on March 13, 2021, the finance minister said that the government would forge a regulatory approach where a lot of experiments will be carried out in this sector.

Sitharaman said that a cabinet note is getting prepared on the matter, and added, 

“From our side, we are clear that we are not shutting all options off. We will allow a certain amount of — a window for people to use — so that experiments in the blockchain, bitcoin or cryptocurrency experiments, and fintech which depends on such experiments will have that window available for them. 

We are not going to shut it off all. Yet, what kind of a formulation, even for crypto, will have to be the content of the cabinet note, which will get ready soon.”

Previously, she stated that as the world drives fast with technology, India cannot look the other way. Sitaraman believes that, in the fintech space, India led the way and many countries are looking to emulate India’s fintech-based developments.

“A lot of fintech companies have made a lot of progress in it. We have got several presentations. Much work at some state level is happening. And we want to take it in a big way in IFSC or Gift City in Gandhinagar,” she said, referring to a meeting being called in Gujarat city.

Speaking about RBI stance on cryptocurrency, Sitharaman claimed that , A Cabinet note detailing rules would be ready soon. 

“It (Cabinet note) is nearing completion, and then it would be taken for the Cabinet of course. The Supreme Court had commented on the cryptocurrency. We are very clear that the Reserve Bank will take a call on official cryptocurrency.”

Ray of Hope for Indian Crypto Community 

The statement made by Sitharaman brought hope and joy to the crypto investors and traders. In response to the interview of Sitharaman, Nishchal Shetty, CEO and founder of Popular indian cryptocurrency exchange WazirX tweeted saying : 

With crypto regulations in India, we will witness different types of crypto companies being bought and built by young Indian entrepreneurs. This will propel a wave of innovation that we haven’t seen till now. 

On the other hand, Sumit Gupta, CEO and founder of CoinDCX exchange claimed that : 

With crypto regulations in India, we will witness different types of crypto companies being bought and built by young Indian entrepreneurs. This will propel a wave of innovation that we haven’t seen till now. #IndiaWantsBitcoin

Must Read: India’s Largest Private Bank HDFC Throws Light on Bitcoin!

Overall, Very promising statement from India‘s Finance Minister in support of crypto! It might be helpful to invite public comment on the subject given that it could be such a huge boon to India’s tech ecosystem and global competitiveness. If this regulation comes to life, India will be added to the list of countries that embraced cryptocurrency.