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Security Considerations To Dictate Cryptocurrency Policy: BJP MP – Unblendednews

Security Considerations To Dictate Cryptocurrency Policy: BJP MP

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Security Considerations To Dictate Cryptocurrency Policy: BJP MP

BJP MP Jayant Sinha said replicating advanced economies on virtual currencies is not an option. (File)

India’s federal ministerial panel will consider a proposed legislation on cryptocurrencies with national security in mind, a Bharatiya Janata Party MP said.

“We have to be very watchful about what happens to these crypto assets and cryptocurrencies,” Jayant Sinha, chairman of the Parliamentary Standing Committee on Finance, said Wednesday. “Use of these kind of crypto instruments in terror financing and for domestic security threats is something we have to be mindful of.”

He ruled out replicating advanced economies on virtual currencies as the nation still doesn’t have a full capital account convertibility.

India’s approach toward cryptocurrencies has evolved over time, going from being virtually outlawed to being reinstated by the court, which termed the curbs as illegal. Mr Sinha’s comments come a day after a former Indian central banker said cryptocurrencies should be treated as an asset or commodity and governed by existing laws for exchanges.

“Our solution will have to be distinct and unique simply because of our unique circumstances,” Mr Sinha said. “We have to balance stability and growth but we recognize how important this whole area of crypto is.”

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