India should legalize Bitcoin [BTC] by regulating it like corporate stock & define cryptocurrency crimes to discourage misuse of the technology, consistent with think-tank founder Deepak Kapoor.
Since it’s almost like other financial assets, “Bitcoin should be traded like a stock. That’s the sole status that it can get, and it should get this status,” Kapoor, who formed the BEGIN India think tank, told in his recent interview with BusinessWorld on Monday.
Kapoor was against the thought of legalizing bitcoin as a currency, though.
“You make it legal and might possibly put the whole economy of the country at stake,” he argued, describing bitcoin as a “private currency.”
The CEO of Mumbai-based cryptocurrency exchange WazirX, Nischal Shetty, while opposed the thought of regulating bitcoin like stocks.
“Bitcoin isn’t a slice of a firm that you simply can purchase or invest in. Rather, it’s seen as an asset, like gold for instance. Hence, it cannot be seen as a stock,” Shetty added.
Kapoor’s call for regulation came as a part of an interview about fears around the use of cryptocurrencies in terrorism financing.
The United States recently seized several dollars in bitcoin & over 300 crypto wallets managed by the terrorist organizations al-Qaeda & Hamas.
Kapoor acknowledged that India is yet to officially recognize cryptocurrency-based crimes.
“I would want senior people from investigative and enforcement agencies to first at least know about it and to understand what’s the world moving forward towards,” he added.
Presently, the regulatory environment in India remains uncertain, with govt planning to impose an outright ban.
According to an earlier Nikkei article retweeted by Syed Akbaruddin, India’s former UN envoy, the govt is now preparing to debate the possible cryptocurrency options.
Ratan Sharda, author, editor, and television panelist told BusinessWorld for the same article that banning wouldn’t work, and therefore the ideal way is to form cryptocurrencies legal & ensure that everything is being tracked.
“Just like you cannot ban porn, you can’t ban cryptocurrency,” Sharda added.
The IAMAI [Internet and Mobile Association of India] is presently developing a code of conduct for cryptocurrency firms within the nation that might include.
“This will also curb illegal activities as well as scams,” said Shetty, whose exchange may be a member of the association.
Despite the regulatory uncertainty, cryptocurrency exchanges servicing Indian clients are witnessing solid growth since the month of March overturning of a ban on banking services for cryptocurrency businesses.