Uncharted path: Experts seek light-touch norms to regulate cryptocurrency

Experts say what will also play on the minds of policymakers is the potential upside of taxing the cryptocurrency trade.

In the aftermath of the apex court’s landmark judgment on the use and regulation of cryptocurrencies, the fate of the draft Banning of Cryptocurrency & Regulation of Official Digital Currency Bill, 2019, hangs fire. The draft Bill, in stark contrast to the court’s order, stipulates that the use of cryptocurrency is punishable with a fine or imprisonment of up to 10 years. Both government and banking sector regulator — the Reserve Bank of India — have to go back to the drawing board once more to firm up their views on the nascent cryptocurrency ecosystem.

“The judgment will free up