G20 Recommendations on Crypto Show India Not Opting for Crypto Ban

On Sunday, September 10, the G20 nations endorsed the recommendations of the Financial Stability Board (FSB) for the regulation, supervision, and oversight of crypto assets.

This development is quite positive for Indian crypto investors as it marks a shift from the central bank’s previous stand of having a blanket ban on cryptocurrencies, a government official said. “If any country wants to ban it you can ban it, but if the rest of the countries are not banning it will be extremely difficult to implement the ban,” said the official.

The official further added that although G20’s agreement on crypto regulation is important, it is essential that all member states take coordinated actions. On the international front, India is actively advocating for a consensus on cryptocurrency regulations within the G20 framework. India was the first to talk about the inclusion of cryptocurrency on the G20 agenda.

Moreover, the government is working to foster agreement on crypto regulations even among countries not part of the G20. The aim is to extend these discussions beyond the G20 group, stated the official.

On the domestic front, the government intends to formulate regulations that align with the consensus achieved through international forums. This marks a significant shift from India’s earlier position, where entities like the Reserve Bank of India were strong advocates for a cryptocurrency ban.

G20 Should Focus on Crypto Regulatory Implementation

The official added that the framework for crypto regulations is already ready and the focus should be now on regulations. “The roadmap has come, now what needs to be worked upon is the implementation part,” the official added.

On the other hand, Ajay Seth, the center’s Economic Affairs Secretary briefed the media on Sunday. Speaking on the roadmap for crypto regulations from the FSB and the IMF, he said: “Our leaders have endorsed it. That is the highest level of activity that can happen in G20.”

The G20 members will have advanced discussions on cryptocurrency regulations during the upcoming meeting of Finance Ministers and Central Bank Governors, scheduled next month in October.