According to online news sources, Ashish Singhal, the CEO and co-founder of the Indian crypto exchange platform CoinSwitch, has urged the Indian government to establish crypto rules. He believes that the resolution of the rules surrounding crypto in India is necessary for protecting the investors, boosting crypto, and removing regulatory uncertainty. These views were expressed by Ashish Singhal while he was attending the World Economic Forum, which is being held in Davos from May 22-26, 2022.
He expanded on his view to express the uncertainty faced by the users presently, as they are left wondering about the future of their holdings. Singhal believes that regulations on crypto will be instrumental in bringing in more certainty and peace. He added that the new laws should include norms for the transfer of crypto assets and verification of identity. As for the exchanges, the government can create a mechanism for tracking transactions so that they can be reported to an authority if required.
There has been some confusion regarding the acceptance of crypto in India. The Indian financial regulator, Reserve Bank of India (RBI), has pushed for a ban on crypto citing major risks to the financial stability of the country. The federal government, on the other hand, moved to tax income from cryptocurrencies recently, which is being interpreted as a sign of acceptance. The Indian Prime Minister, Narendra Modi, also said in December that new and emerging technologies can be used to empower the democracy.
All this while, crypto exchanges have been struggling with banks for transferring funds. Notably, in April 2022, CoinSwitch and other crypto exchanges had to disable deposits from a popular state-backed network, which alarmed the investors.