The craze about cryptocurrency is increasing continuously among investors in India, but there is also confusion among people due to no clear regulatory body formation in the country so far. While many countries in the world have formed the Regulatory Frame to monitor Cryptocurrency and are moving towards Crypto Stock, while no work has been done in this direction in India so far and there is confusion. While the central government is charging 30 percent tax on cryptocurrency.
The Supreme Court has also expressed displeasure many times in this case. On Monday too, the Ultimate Court Docket questioned the Central Government during the hearing of ‘Shailesh Babulal Bhatt vs Gujarat’ case. When 30% tax is being charged on cryptocurrency, why is it not being regulatedUltimate Court Docke said that not oppose on cryptocurrency, Legislation is necessary. However, on behalf of the central government, ASG Aishwarya Bhati replied that work is being done in this direction. In this article, you can know that if the cryptocurrency regulatory in India comes under the purview of the frame, then what are the benefits of this.
Investment in cryptocurrency will get security
If the regulatory frame is formed with cryptocurrency in India, then Crypto Marketplace may bounce, because despite not having regulatory frame, many investors in India take the risk of investing in cryptocurrency. In such a situation, if any constitutional body of the country monitors the virtual property, then investors will trust the Crypto Marketplace and the investment may increase. Regulation will bring transparency and stability to Crypto Marketplace, which will reduce the chances of sudden decline or increase.
Ban on money laundering and terror funding
If there is a Crypto Regulator institution in India, then money laundering and terror funding will be controlled. recently After Indo-Pak tension, central government alert about crypto transactions Has occurred. In view of the increasing incidence of funding by terrorists in Jammu and Kashmir and North-Eastern states, FIU (Monetary Insigt Unit) has intensified monitoring of crypto exchanges, but despite this, there is no law due to no law regarding crypto transaction. Anti -social elements can take advantage of this. After the regulation, rules like KYC and AML (Anti-Cash Laundering) can be tightened and illegal fund movement can be curbed. If there is a regulator, then the legal disputes going on in the court will also decrease.
Startups and innovation will get a boost
India’s image is developed as a crypto pleasant situation, increasing investment in startups and will also create employment possibilities. Crypto companies and blockchain startups can increase their investment. India can learn from Brazil in this matter. Just as India has its own online payment system UPI, Brazil has its real-time payment system PIX, which has recently been partnership with the world’s largest Crypto Alternate Binance. This will include cryptocurrency in Brazil’s payment system and will also speed up online digital payment. India can also attract investment by moving forward in this direction. India has already proved its global leadership with virtual infrastructure like UPI, Aadhaar.
Monitoring possible on exchange and wallets
Through the Crypto regulator, the government will be able to monitor Crypto Alternate Platforms and Crypto Wallets, which will curb fake companies and fake apps. The scams will be curbed when it is in Virtual International. We have also seen this in the Wazirx Hack case of about ₹ 2000 crore. In the absence of rules, the Supreme Court rejected the petition filed by the users. Due to no regulatory institution, RIP -off victims are still wandering for justice.
Crypto Marketplace CAP increases
If a regulatory body for cryptocurrency is formed in a country like India, it can increase the International Crypto Marketplace CAP significantly. Since India is the fourth largest economy in the world and if its doors open with rules for virtual property, it will also have an impact on the world’s crypto market. Currently, the total crypto marketplace CAP is about $ 3.35T, which can cause a significant bounce.
Why does India still lag in the race for Crypto Regulator?
While Crypto Property has been included in the mainstream in many countries in the year 2025, India is still far behind in this race. India has so far recognized it by setting tax on earnings from Crypto, but has not adopted. The Government of India and the Reserve Bank are taking a lot of steps in this matter. In response to the sharp questions of the Supreme Court, the central government has so far agreed to form a regulatory body several times. The inter-ministerial group (IMG) of major institutions like Finance Ministry, RBI and SEBI is engaged in preparing a discussion letter.
Conclusion
The lack of clear regulatory framework between increasing interest and investment in Cryptocurrency in India is a matter of concern. The strictness of the Supreme Court and the activeness of the Central Government indicates that soon it is possible to constitute a Crypto Regulatory Frame. If this happens, it will give a big boost to investors’ safety, transparency, control over cash laundering and Startup Innovation. Given India’s digital leadership ability, this step can prove to be a positive change for participation and investment in global competition in Crypto Sector.