India is discussing with Group of 20 members ways to develop a standardised global framework for regulating cryptocurrencies, Finance Minister Nirmala Sitharaman said.
If technology-driven assets such as cryptocurrencies are to be regulated, “one country alone cannot do anything”, Sitharaman told a media conference after a customary post-budget meeting with the Reserve Bank of India board in New Delhi, on Saturday.
“That’s why we are discussing with every country whether we could frame a standard operating procedure that we all can adopt and create a regulatory framework,” she said.
India holds the G-20 presidency this year and crypto regulation and climate change are likely to be among the many topics of discussion.
Sitharaman’s comments echo that of the International Monetary Fund, which has stressed developing global standards for regulating cryptocurrencies. “Eventually, we need robust, comprehensive, globally consistent crypto regulation and supervision,” wrote IMF’s Bo Li and Nobuyasu Sugimoto in a blog last month.
While India doesn’t ban trading in crypto assets, it introduced a harsh tax rate last year, virtually choking the activity. Offsetting losses in one crypto asset with gains from another has also been disallowed.