CoinSwitch, a leading crypto trading platform in India, has called for clear crypto regulations in the country.
Ashish Singhal, the co-founder of CoinSwitch, believes New Delhi must work on establishing regulations on digital assets for regulatory uncertainty resolution, crypto investors’ safety, and the betterment of the crypto sector. He said regulations will bring more peace to India. Singhal, at the World Economic Forum in Davos, highlighted that users don’t know what will happen with their holdings – whether the Indian government is going to ban them or not ban, and how they will be regulated.
CoinSwitch is pushing for regulations. Singhal said the crypto industry in India can get clarity only with the right regulation. He revealed that CoinSwitch is in talks with regulators to try and restart the transfer service. The crypto platform halted its UPI transfers and is in talks with banking partners. Coinbase also ceased the use of the inter-bank fund transfer services that the government had supported. Brian Armstrong, the platform’s CEO, attributed this to informal pressure from the Reserve Bank of India.
India’s crypto sector is in confusion as to the central bank, the Reserve Bank of India has been calling for a blanket ban for quite some time now. The RBI has time and again expressed concerns about private cryptocurrencies and supported a ban because of the risks to financial stability. But Prime Minister Narendra Modi, in December, said that emerging technologies should be used to strengthen democracy than weaken it. Singhal pointed out that while the latest improvements to taxation and certain advertising regulations gave the sector some relief. However, more needs to be done.