<p>India is likely to bar the use of cryptocurrencies for transactions or making payments, but allow them to be held as assets like gold, shares or bonds, <em>the Economic Times </em>reported on Wednesday.</p>.<p>Citing sources familiar with the government's thinking, the newspaper said this approach would avoid implementing a complete ban, though the government was keen to stop crypto companies, including exchanges and platforms from actively trying to attract new investors.</p>.<p>The crypto community has made several representations to Indian authorities asking to be classified as an asset rather than as a currency, in order to gain acceptance and avoid a ban.</p>.<p>India's Prime Minister Narendra Modi last week chaired a meeting to discuss the future of cryptocurrencies amid concerns that unregulated crypto markets could become avenues for money laundering and terror financing, sources had said on Saturday.</p>.<p>A person aware of discussions at that meeting said that the overall view within government is that steps taken should be proactive, "progressive and forward-looking" as cryptocurrencies represented an evolving technology, the newspaper reported.</p>.<p>Sources told the newspaper that details of a bill were still being finalised, and the cabinet could receive the proposed legislation in the next two to three weeks for its consideration.</p>.<p>The Securities and Exchange Board of India (Sebi) could be designated as the regulator, though that has not been finalised, the newspaper reported.</p>.<p>The Reserve Bank of India has so far appeared very reluctant to accept cryptocurrencies, expressing concerns over potential risks to macroeconomic and financial stability, and capital controls.</p>.<p>India's digital currency market was worth $6.6 billion in May 2021, compared with $923 million in April 2020, according to blockchain data platform Chainalysis.</p>.<p>RBI Governor Shaktikanta Das reiterated the central bank's concerns at an event on Tuesday, saying there was a need for deeper discussions, and noting the lack of a well-informed debate in the public domain.</p>.<p><strong>Check out DH's latest videos:</strong></p>
<p>India is likely to bar the use of cryptocurrencies for transactions or making payments, but allow them to be held as assets like gold, shares or bonds, <em>the Economic Times </em>reported on Wednesday.</p>.<p>Citing sources familiar with the government's thinking, the newspaper said this approach would avoid implementing a complete ban, though the government was keen to stop crypto companies, including exchanges and platforms from actively trying to attract new investors.</p>.<p>The crypto community has made several representations to Indian authorities asking to be classified as an asset rather than as a currency, in order to gain acceptance and avoid a ban.</p>.<p>India's Prime Minister Narendra Modi last week chaired a meeting to discuss the future of cryptocurrencies amid concerns that unregulated crypto markets could become avenues for money laundering and terror financing, sources had said on Saturday.</p>.<p>A person aware of discussions at that meeting said that the overall view within government is that steps taken should be proactive, "progressive and forward-looking" as cryptocurrencies represented an evolving technology, the newspaper reported.</p>.<p>Sources told the newspaper that details of a bill were still being finalised, and the cabinet could receive the proposed legislation in the next two to three weeks for its consideration.</p>.<p>The Securities and Exchange Board of India (Sebi) could be designated as the regulator, though that has not been finalised, the newspaper reported.</p>.<p>The Reserve Bank of India has so far appeared very reluctant to accept cryptocurrencies, expressing concerns over potential risks to macroeconomic and financial stability, and capital controls.</p>.<p>India's digital currency market was worth $6.6 billion in May 2021, compared with $923 million in April 2020, according to blockchain data platform Chainalysis.</p>.<p>RBI Governor Shaktikanta Das reiterated the central bank's concerns at an event on Tuesday, saying there was a need for deeper discussions, and noting the lack of a well-informed debate in the public domain.</p>.<p><strong>Check out DH's latest videos:</strong></p>