IS INDIA FINALLY PLANNING A STRATEGIC BITCOIN RESERVE?

- Pradeep Bhandari, national spokesperson for the ruling party in India, has called on the central government to build a sovereign Bitcoin reserve.

- His message: the world has changed and India can’t afford to fall behind.

- In a piece for India Today, Bhandari referenced the U.S. and Bhutan as models.

- The U.S. has quietly converted over 200,000 seized BTC, worth more than $20 billion, into a strategic reserve. Bhutan, meanwhile, has mined over $1 billion worth of Bitcoin using hydropower.

“This isn’t a reckless pivot,” Bhandari said. “It’s a calculated step toward embracing digital assets’ legitimacy.”

India Has the Tools—But Lacks Clarity:

- With vast renewable energy and a strong IT backbone, Bhandari argues India is ready to lead. But unclear rules hold it back.

- Currently, crypto gains are taxed at 30%. Yet no formal framework exists for exchanges or government reserves. The industry remains in a grey zone.

- He suggested a modest reserve—5,000 to 10,000 BTC—financed without touching taxpayer money. The assets would be kept in audited cold storage, overseen with institutional-grade security.

- The idea also ties into India’s green goals. National Bitcoin mining could support energy independence, reduce volatility in reserves, and tap into a growing digital asset class.

- Some exchanges welcomed the proposal and urged policymakers to draft a consultation paper. Per reports, the finance ministry is reviewing the idea, but the Reserve Bank of India remains quiet.

Why It Matters Now:

- The IMF recently classified Bitcoin as a capital asset. Nations from the U.S. to Russia are moving ahead with national strategies.

- India led global crypto talks during its G20 presidency in 2023. But now, others are acting while Delhi deliberates.

“A measured Bitcoin strategy —perhaps a reserve pilot — could strengthen economic resilience and project modernity,” Bhandari said.