India Chases Regulating Crypto Sector and Money Laundering with Same Fervor
If there’s one thing that India loves more than its centuries-old culture, it’s laws and regulations. And the latest report from the country has proven that this love affair is seeing no end. According to reports, the government is planning to bring crypto sector within the scope of the Prevention of Money laundering Act (PMLA).
Money Laundering Comes to Town
The Indian government has had a razor-sharp focus on the crypto market as most countries should. With international schemes attempting to use Indian exchanges to launder funds has got the government’s attention. As a result, they’ve now proposed a notification that’s widening the scope of PMLA to include digital assets including a broad range of crypto.
Reel in the Crypto Players
Although the finer details of the proposal are still being worked out, one thing’s for sure – the government is intent on making sure that no stone goes unturned. Meaning if you’re part of the crypto ecosystem, it may be time to buckle up and get ready for the big squeeze from the government.
Good or Bad for the Crypto Sect in India?
It’s a difficult question to answer. On the one hand, this could help bring cryptocurrency into the mainstream and make it fully legitimate within the eyes of the government. On the other hand, treating cryptocurrencies just like any other money laundering activity may just have a chilling effect on the cryptosphere.
In any case, here are some of the key takeaways:
- Rigid Rules: Expect the government to come down hard on exchanges and other cryptocurrency businesses offering services to its citizens.
- Increased Surveillance: You can bet that the government won’t be taking a passive role in monitoring the activities of crypto businesses.
- No Loopholes: Once the notification comes into force, the government will make sure that no crypto player is able to take advantage of any loopholes or remain outside the purview of the law.
It’s an exciting time ahead for crypto, with India ready to get all Sherlock-y about it. Just one advice for would-be crypto players – keep your wits about you and don’t fall for any of Moriarty’s tricks!
