Discussion paper on India's suspension of cryptocurrency policy stance due to other priorities

According to CoinDesk, two informed sources revealed that India has not yet released a discussion document outlining its cryptocurrency policy stance as officials are focusing on other priorities. The document was initially expected to be released in September after consultation with stakeholders such as the central bank and market regulatory agencies. According to informed sources, the intention to publish still exists, but there is no timetable yet. India is the world's fifth largest economy, but the country has not yet formulated comprehensive cryptocurrency legislation, and this discussion document is expected to take a step in this direction. The country claims that cryptocurrencies are not regulated, but it has imposed high taxes on the industry and requires cryptocurrency entities to register with the country's Financial Intelligence Unit (FIU-IND) to comply with anti money laundering (AML) and terrorism financing standards set by global institutions such as the Financial Action Task Force (FATF). Officials within India's policy environment are facing more urgent demands, including the International Monetary Fund (IMF) and World Bank's 2024 annual meetings scheduled for the end of this month. They also have to deal with multilateral and bilateral meetings with other countries, as two regional wars - between Russia and Ukraine and between Israel and the Middle East - are still ongoing. In addition, the Ministry of Finance must focus on addressing the election year by developing two budgets: a temporary budget for February before the July elections and a full budget after the elections, while also conducting nationwide consultations.