The Indian government plans to release a cryptocurrency policy paper in June 2025 after the Supreme Court recently questioned the government’s failure to regulate the industry.
India’s Supreme Court questioned the government’s lack of substantive regulation despite imposing a controversial 30% taxation on cryptocurrencies.
Supreme Court Questions Government’s Failures to Regulate Cryptocurrencies
India’s Supreme Court publicly questioned the government’s lack of clear and appropriate cryptocurrency regulation despite imposing a massive 30% tax on assets like Bitcoin. According to reports by Indian legal news outlet LawChakra, the Supreme Court has concerns over Bitcoin’s and other cryptocurrencies’ increasing popularity and adoption and the lack of comprehensive regulation in the industry.
In a recent hearing on the matter, Justice Surya Kant reportedly said:
“This is a whole parallel economy running with such coins, and it is a danger to the economy of the country.”
Justice Kant was critical of the government’s tax imposition and its lack of regulations. According to Kant, “ If you can tax it at 30%, also please regulate it as you have recognised it by taxing it.”
Indian Government Will Reportedly Issue Crypto Policy Paper
In what is likely a response to the Supreme Court’s criticisms, India is reportedly preparing to issue a discussion paper on bitcoin control next month, suggesting a positive shift to introduce a clearly defined policy framework for digital assets. Per a report by The Economic Times, India is recognising the rising relevance and adoption of digital assets. While India is a world forerunner in taxing cryptocurrencies, it has failed to join the global push for a clear and comprehensive digital asset regulatory framework.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
