It was strongly believed that attempts to mislead young people by exaggerating returns and using opaque advertising should stop, according to people familiar with the proceedings. Unregulated Cryptocurrency Markets Shouldn't Convert money laundering and terrorist financingthey said, citing the discussions.
The high-profile review comes ahead of a parliamentary finance committee meeting with industry representatives and stakeholders Monday on cryptocurrencies.
Governor of the Reserve Bank of India (RBI) Shaktikanta das raised concerns about the cryptocurrency last week. "People are doing a certain activity; as a central bank, we have serious concerns about macroeconomic and financial stability points of view, "he had said.
ET had reported earlier this month that India is seeking a middle way in cryptocurrency while finalizing legislation that will be tabled in the upcoming winter session of parliament.
The growing view in government It is that the law must be written in such a way that it can be executed effectively and that technological developments in the digital space are taken into account, ET reported.
The government will keep a close watch and take proactive measures, keeping in mind that this is a rapidly evolving field, people familiar with the details of the meeting said.
There was consensus in the review that the government will be progressive and forward-thinking, continuing to proactively engage with experts and other stakeholders, the people cited above said.
This will also require global partnerships and collective strategies, as cryptocurrencies are a cross-border problem.
Major exchanges have seen a 200-500% increase in the number of daily traders and an increase in volumes in recent months as cryptocurrency prices have rebounded sharply.
