As per media reports, India is in the final stages of preparing a detailed discussion paper that lays the foundation for future policy decisions on crypto assets.
The report says that the yet-to-be-released paper is expected to outline policy framework options, drawing insights from the International Monetary Fund and the Financial Stability Board.
It is worth noting that it will invite public feedback to shape India’s broader regulatory approach to crypto assets. Over time, the nation has continued to take a tougher stance on crypto and other related products, imposing significant taxes on such products.
Business Today TV reported, citing verified sources, “ The discussion paper on virtual digital assets is being given finishing touches,” further adding, “ Once out, it will invite stakeholder inputs to help shape India’s broader regulatory approach to crypto.”
Some other experts argue that India’s slower pace towards crypto legalization demonstrates its cautious approach to the industry, as it is one of the world’s largest economies and most populous nations.
The news of releasing the discussion paper came at a time when the global stance of crypto is changing, and nations like the United States and others have continued to embrace these blockchain-based currencies.
How big is the Indian crypto market?
By the end of 2024, the Indian crypto market was valued near to $3 billion and is expected to grow with a CAGR of 18.48%, yet some other sources claim that the market was worth $5 billion at the close of last year.
The Indian crypto market is expected to have around 107.3 million users, and the expected penetration rate is 7.35%. The surge in user base will likely be backed by the surging literacy about digital currency and blockchain technology.
The Indian crypto sector is expected to reach $241 million by 2030, with a compound annual growth rate of 14%, according to a 2021 NASSCOM report.
India’s more than 400 million smartphone users and 700 million internet users encourage the usage of crypto platforms and digital wallets. Despite a 70.47% decrease in investment in Indian Web3 companies from $76.6 million in 2022 to $22.6 million in 2023, infrastructure projects are still strong.
Crypto market price updates
Until publishing, the crypto market cap was $3.29 trillion with a loss of 2.91%, and the trading volume was $139.52 billion at the same time crypto fear and greed index was at 6,1, indicating greed.
Bitcoin is exchanging hands at $105,758 with a loss of 2.09% in the intraday time frame, and its market capitalization has fallen to $2.09 trillion with a loss of 2.10%, and trading volume is $58.53 billion with a surge of 15.37%.
According to data from CoinMarketCap, the intraday losers list has been topped by Fartcoin, Arbitrum, Pudgy Penguins, Optimism, Pyth Network, Bonk, Pepe, Raydium, Near Protocol, and Floki.
