India is preparing to publish a detailed discussion paper in June 2025 as momentum builds globally around digital assets. The government plans to initiate formal consultations to explore regulatory options for virtual digital assets, focusing on gathering industry feedback before moving toward any legislative action.
As the India Times reports, the Ministry of Finance is leading this initiative to introduce a proper framework to an area with no precise regulation. Officials have said that the goal of the policy memo is to gather feedback from stakeholders rather than make immediate changes to the law.
Officials are making sure that new policies approved by India consider both its national goals and the latest trends internationally.
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Currently, crypto in India is considered taxable even though it is not recognized legally. The 2022–2023 national budget introduced a 30 percent tax for earnings from digital assets in the country. Still, cryptocurrencies are not regulated by broader laws in Finland.
All crypto exchanges in the country are now required to register with the Financial Intelligence Unit. This action was taken to strengthen rules against money laundering and terrorism financing in the sector.
Since there is no official regulatory policy, both investors and service providers are unsure about what to expect. The goal of the coming paper is to close that gap and clarify the issues in the sector.
Rising Global Support for Crypto Puts Spotlight on India’s Position
Global trends are adding pressure on India to act. Support for digital assets is growing internationally, especially in the United States, where President Donald Trump’s backing of cryptocurrencies has influenced global sentiment.
Industry leaders in India have also taken notice, with Sunil Mittal, Chairman of Bharti Group, recently pointing out the rapid increase in crypto activity. He observed that digital assets had recently seen more involvement, which he attributed to political figures backing them.
The Central Bank of India remains cautious due to ongoing concerns about cryptocurrencies, including their potential use by criminals and the risks they pose to financial stability, as emphasized by the Reserve Bank of India. Repeated assessments from officials highlight that a cautious approach is necessary.
The source pointed out that actions will be taken for the good of India. He pointed out that changes in policy will be analyzed for their wide effect on the economy related to virtual assets.
This upcoming paper is expected to help influence discussions about how regulations are formed in the country. This will be the beginning of establishing a firm and safe foundation for crypto in India.
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