
Finance Minister Nirmala Sitharaman expressed her views on the regulation of cryptocurrency, emphasizing the need for global understanding and collaboration in dealing with this emerging digital asset. She mentioned that discussions on this topic have been ongoing within the Finance Ministry since 2020, even before the G20 meetings. The Reserve Bank of India (RBI) also has its own perspective on the matter.
During India’s presidency at the G20, the issue of cryptocurrency was addressed, and the International Monetary Fund (IMF) and the Financial Stability Board (FSB) were brought into the discussions. Well-written papers were submitted, and extensive deliberations took place. The Finance Minister highlighted the importance of achieving a global consensus and ensuring that all countries are on the same page when it comes to regulating cryptocurrency.
The Finance Minister stressed that attempting to regulate cryptocurrency within the boundaries of a single country without global cooperation would not be effective. Cryptocurrency operates across borders, and thus, a unified approach is necessary for regulation to be successful.
Sitharaman acknowledged that the opinions on cryptocurrency regulation are varied and that there is no harm in having differing viewpoints. However, she clarified that the government has not yet reached a stage where it has finalized its stance on the matter. It is crucial for regulators to be aligned in their approach, and any disagreements among them at this stage would raise concerns. However, the Finance Minister assured that the government is not currently facing such a situation, indicating that there is still a long way to go before a definitive decision is made.