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 Since 2018, India has maintained a conservative stance towards the cryptocurrency market. However, a recent statement reported by Reuters suggests that the Securities and Exchange Board of India (SEBI) is hinting at a potential change.&nbsp;
 In a recent statement, SEBI mentioned that it could explore regulatory options for cryptocurrencies, indicating a willingness to engage with this evolving market. This development could pave the way for a more conducive environment for cryptocurrency enthusiasts and investors in India. 
 <h3 style="" id="span-span-data-font-font-size-style-font-size-16px-what-s-the-news-span-span">What’s the News?&nbsp;</h3>
 India's markets regulator has proposed that oversight of cryptocurrency trading be distributed among various authorities, according to Reuters. The Securities and Exchange Board of India (SEBI) made this recommendation to a government panel responsible for shaping finance ministry policy, as per documents cited by Reuters. The panel aims to submit its report by June.
 SEBI's stance contrasts with that of the Reserve Bank of India (RBI), which reportedly supports a ban on stablecoins. The RBI has consistently expressed concerns that cryptocurrencies pose a threat to policy sovereignty.
 SEBI suggested that it could monitor cryptocurrencies resembling securities and <a href="https://www.coingabbar.com/en/crypto-latest-ico" title="initial coin offerings" class="f-link" rel="noopener noreferrer nofollow">initial coin offerings</a> (ICOs). It could also issue licenses for equity market-related products. If this happens then it would be similar to the US SEC where it regulates the tokens that are in the nature of crypto exchanges.
 It also recommended that RBI could regulate assets backed by fiat currencies like stablecoins. Additionally, the Insurance Regulatory and Development Authority of India (IRDAI) could supervise insurance and pension-related virtual assets, in coordination with the Pension Fund Regulatory and Development Authority (PFRDA).
 The resolution of investor grievances in cryptocurrencies is proposed to fall under India's Consumer Protection Act, as per the Reuters report.
 <h4 style="">RBI’s Stand on Cryptocurrency</h4>
 Since 2018 RBI has been in a state of uncertainty about cryptocurrency. It highlights the risk of tax evasion and the adverse effects on fiscal stability. It perceives decentralized peer-to-peer activities as voluntarily based, which may cause difficulties in control and supervision. The RBI in addition is concerned that the loss of income due to cryptocurrencies may be the result of money creation. While the RBI's 2018 directives to financial institutions were suspended by the Supreme Court, the RBI has still emphasized the need for tight Anti-Money Laundering and Foreign Exchange regulations, thus keeping cryptocurrencies out of the Indian formal financial system.
 <h4 style="">What’s next?</h4>
 With SEBI considering regulatory options and RBI's cautious stance, India's cryptocurrency landscape is at a turning point. If SEBI proceeds with regulating certain crypto assets, it could bring clarity and legitimacy to the market, akin to the US SEC's oversight. This could attract more investors and encourage innovation in blockchain technology.&nbsp;
 Additionally, the resolution of investor grievances under consumer protection laws indicates a growing recognition of cryptocurrency's importance. Hence, this potential shift suggests a more inclusive approach to cryptocurrencies in India's financial ecosystem, promoting growth and opportunity.
 Also Read:- <a href="https://www.coingabbar.com/en/crypto-blogs-details/top-5-profit-making-crypto-presales" title="5 Crypto Presales Offering Earning, Profits And More" class="f-link" rel="noopener noreferrer nofollow">5 Crypto Presales Offering Earning, Profits And More</a>
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SEBI Explores Regulatory Options for Cryptocurrency

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