BJP’s Pradeep Bhandari urged India to launch a Bitcoin reserve pilot for economic and regulatory clarity.
Texas allocated $10 million to create a standalone Bitcoin reserve, becoming the first U.S. state to fund one.
India taxes crypto at 30% but lacks regulation, prompting calls for structured oversight through a national reserve initiative.
India’s ruling party has called for the country to explore a sovereign Bitcoin reserve as part of a national economic strategy. Pradeep Bhandari, spokesperson for the Bharatiya Janata Party (BJP), made the proposal in an article published during ongoing global efforts to integrate crypto into public financial systems. He referred to India’s existing taxation model for digital assets as insufficient without proper regulation and said a reserve pilot would address both innovation and oversight.
U.S. Leads Government-Led Bitcoin Adoption
Bhandari referenced the U.S. federal government’s plan to expand its Bitcoin reserves using budget-neutral mechanisms. These include asset seizures and crypto bond issuances. He also mentioned that three U.S. states have passed legislation authorizing Bitcoin as a reserve asset.
As reported by CryptoNewsLand, Texas has become the first state to act on this authorization with Senate Bill 21. The bill allocates $10 million in public funds to create a standalone Bitcoin reserve. The reserve will remain separate from the state’s primary treasury system. Texas also passed House Bill 4488, which prevents automatic transfers of the reserve into the general fund.
Officials have confirmed that the reserve will be managed independently. It will not be tied to the state's regular cash holdings. With funding and legal structure in place, the acquisition process will begin following coordination with treasury authorities.
Bhutan and India’s Energy Capacity Cited
Bhandari also pointed to Bhutan’s state-managed Bitcoin mining operations as an example of sovereign-level involvement in digital assets. Bhutan has reportedly mined over $1 billion worth of Bitcoin using its hydropower resources.
India, he said, could build a similar program by using its renewable energy infrastructure and information technology expertise. He framed this as a step toward long-term financial planning. During India’s G20 presidency in 2023, the country helped establish a working group with the International Monetary Fund on crypto regulation. But Bhandari said other countries are moving faster toward implementation.
Crypto in India Remains Taxed but Unregulated
India currently taxes virtual digital assets at a flat rate of 30% under Section 115BBH of the Income Tax Act. The law allows deductions only on purchase costs, excluding other expenses and losses. A separate 1% tax deducted at source applies to all transactions above $115.
Bhandari argued that the absence of regulation leaves the sector incomplete. He called for India to launch a Bitcoin reserve pilot to establish clarity and governance. According to him, such a strategy could offer financial stability while formalizing the digital asset class within India’s economic framework.
