Good news for crypto traders! Govt may not introduce bill in Winter Session of Parliament   |  Photo Credit: iStock Images
In a breather for crypto trading platforms and investors, the Cryptocurrency and Regulation of Official Digital Currency Bill, 2021, which was listed by the government as one of the agenda items for the Winter Session of the Parliament, might not be tabled in the ongoing session.
The government is mulling changes to the proposed legislation’s framework which means it may not be introduced in the Winter Session, according to Economic Times.
Some of the issues pertaining to the bill need more discussions and comments from the public. These include matters such as the inclusion of the Central Bank Digital Currency (CBDC) in the current framework or under the RBI Act.
The government felt that any law around cryptocurrencies needs to be in synch with a global framework which is still evolving after discussing the matter at the highest levels, the report said, quoting an unnamed government official.
“It may be better to wait and observe how the situation pans globally, they added. However, for consumer protection and taxation of cryptocurrencies, existing laws and regulations could be tapped, it was felt.
At US President Joe Biden-hosted Democracy Summit, Prime Minister Narendra Modi called for synchronised efforts to shape social media norms and cryptocurrencies to ensure they are used to “empower democracy and not to undermine”.
The official further said any potential cryptocurrency framework should be formed after consulting all stakeholders amid an evolving global consensus on the matter.
The government is also discussing whether draft framework of the crypto bill should over the CBDC or not. The proposed digital currency could also be governed by the RBI Act, the government thinks.
The Cryptocurrency and Regulation of Official Digital Currency Bill, 2021 had been originally listed for discussion and passage in the Budget session of the Parliament earlier this year but the government decided to rework it before tabling it.
Some of the regulations being considered by the government, as reported earlier, include appointing the Securities and Exchange Board of India (Sebi) to regulate the space as the government wants to classify it as financial assets.