The Minister of State for Ministry in Finance Anurag Thakur once again provided some insights on the government view regarding cryptocurrencies in the Rajya Sabha, the upper house of the Indian Parliament. Responding to a set of questions posed by Rajya Sabha member R K Sinha, Anurag Thakur stated that the government has taken notice of the growing popularity of cryptocurrencies and it is currently examining the draft report and bill submitted by the Inter-Ministerial Committee.
However, the more interesting response came to the question around cryptocurrencies being used for secret/illegal activities.
Crypto currency can be used for secret and illegal activities, but there is no data to corroborate that it is primarily being used for such activities.Minister Anurag Thakur in the Rajya Sabha
This again goes to show that the government realises they do not have the claim to back up the popular misconception that cryptocurrencies are primarily used for illegal activities. When it is so difficult to trade cryptocurrencies in India, it is surprising that many of our regulators harbor incorrect notions about this asset class.
India’s leading information technology trade association NASSCOM recently came out in favour of cryptocurrency regulations and stated that the Inter-Ministerial Committee’s recommendation of a blanket ban on crypto will hurt India’s progress.
Incidentally, Anurag Thakur was also the first minister to clarify in the Rajya Sabha that cryptocurrencies are not prohibited in India. Do we have in him a Minister who understands the merits of cryptocurrencies? Only time will tell!