Government is Strict on Cryptocurrencies, Will not Consider it As Currency

Trading volumes in cryptocurrencies have increased rapidly in the last few years. Rules are being made for this sector in the country. However, the central government’s strict attitude towards cryptocurrencies remains intact. Finance Minister Nirmala Sitharaman said on Friday that cryptocurrencies are not considered or seen as ‘currency’ in the country.

On the question of change in the government’s attitude towards this sector after the recent boom in the crypto market, Sitharaman said, “The government has always believed that the assets created on crypto should be used for trading and many other things. They can be used as assets. We have not regulated them. This is the central government’s position.” in America bitcoin There has been a lot of growth in the crypto market after Spot ETF got approval from the securities regulator. Funding in these ETFs is continuously increasing. This week the price of Bitcoin also reached more than $73,700, which is its high price.

Along with this, the prices of Ether and other cryptocurrencies have increased. Earlier this week, capital market regulator SEBI had said that due to ease of transactions, a large number of investors from the stock market may move towards the crypto segment. The market capitalization of cryptocurrencies has increased to approximately $ 2.7 trillion.

This segment is being promoted by leaders of some big countries as well as investors. Recently, Prime Minister Narendra Modi had expressed the need for global cooperation to deal with emerging technologies like Artificial Intelligence (AI) and cryptocurrency. There is enthusiasm among investors after the approval of Bitcoin Exchange Traded Fund (ETF) by the Securities Regulator SEC in America. However, due to high taxes on the crypto segment in the country, growth is being affected. Before the budget presented last month, the crypto industry had requested the central government to reduce taxes on this segment. However, Finance Minister Nirmala Sitharaman did not make any mention of cryptocurrencies in the interim budget. Due to this, the stakeholders associated with this industry were disappointed. Regulators in some countries have also warned about cryptocurrencies.