Regulate, don't ban crypto biz: Stakeholders
As government plans to come up with a Cryptocurrency Bill, sector stakeholders have said that the government should regulate the cryptocurrency ecosystem, rather than banning them.
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New Delhi: As government plans to come up with a Cryptocurrency Bill, sector stakeholders have said that the government should regulate the cryptocurrency ecosystem, rather than banning them.
Experts are of the view that India should formulate regulations in the lines of the developed countries which regulate these currencies including the US, UK, Japan, Australia among others.
Nischal Shetty, Founder & CEO, WazirX said: "India's crypto policy should be geared towards fostering innovation, and customer safety. We should be able to prevent bad activities but keep the door to innovation open by allowing everything else to be built."
He said that so far there is no single regulator in a position to regulate the entire crypto sector.
"It's like trying to regulate the Internet with one regulator. We can start breaking down crypto based on its classification as currency, asset, utility, security, and let regulators handle the respective crypto. Eventually, it will become necessary to have a dedicated crypto markets regulator," Shetty said.
He also recommended that the government should ensure that all crypto businesses catering to Indian customers are registered in India and follow KYC and AML policies. "There should also be guidelines for crypto businesses to ensure safety of customer funds," the WazirX CEO said.
Dev Sharma, Regional Manager (Central Asia) for Paxful also said that at a foundational level, India should regulate so that all companies have to implement KYC and AML processes to protect consumers.
