Blockchain startups welcome govt move to constitute committee on virtual currencies
BENGALURU: The central government’s move to constitute a committee to look at the framework around virtual currencies has been welcomed by bitcoin and blockchain startups, especially as it proposes to understand the global trends around cryptocurrencies such as Bitcoin.
The finance ministry’s Department of Economic Affairs has constituted an interdisciplinary committee chaired by the special secretary of economic affairs and comprising representatives from the ministries of home affairs, and electronics and IT, the Reserve Bank of India, NITI Aayog and the State Bank of India, the government announced on Wednesday.
In February, the RBI had issued a circular users about virtual currencies such as Bitcoin, triggering alarm among bitcoin investors in the country and prompting bitcoin firms such as Zebpay, Unocoin, Coinsecure and Searchtrade to form an industry association – the Digital Assets and Blockchain Foundation of India (DABFI).
On Thursday, DABFI welcomed the government’s move saying, “By setting up a high-level committee to study and give suggestion on virtual currency regulations, the government has again shown their keenness to study, understand and take well-thought decisions.”
In a statement, DABFI said, “We have seen that in the countries where governments have come out with a self-regulation policy, created an environment for the bitcoin/ blockchain technology to grow, those countries have become the epicentre of innovation.”
The newly-formed committee will take stock of the status of virtual currencies in India and globally, examine the existing global regulatory and legal structures governing virtual currencies, and suggest measures for dealing with such currencies including issues relating to consumer protection and money laundering, according to the press release issued by the government.
The finance ministry’s Department of Economic Affairs has constituted an interdisciplinary committee chaired by the special secretary of economic affairs and comprising representatives from the ministries of home affairs, and electronics and IT, the Reserve Bank of India, NITI Aayog and the State Bank of India, the government announced on Wednesday.
In February, the RBI had issued a circular users about virtual currencies such as Bitcoin, triggering alarm among bitcoin investors in the country and prompting bitcoin firms such as Zebpay, Unocoin, Coinsecure and Searchtrade to form an industry association – the Digital Assets and Blockchain Foundation of India (DABFI).
On Thursday, DABFI welcomed the government’s move saying, “By setting up a high-level committee to study and give suggestion on virtual currency regulations, the government has again shown their keenness to study, understand and take well-thought decisions.”
In a statement, DABFI said, “We have seen that in the countries where governments have come out with a self-regulation policy, created an environment for the bitcoin/ blockchain technology to grow, those countries have become the epicentre of innovation.”
The newly-formed committee will take stock of the status of virtual currencies in India and globally, examine the existing global regulatory and legal structures governing virtual currencies, and suggest measures for dealing with such currencies including issues relating to consumer protection and money laundering, according to the press release issued by the government.
