According to a recent report by The Economic Time, a whopping 93% of Indian investors want to have some sort of cryptocurrency regulation.
Among these investors, 56% want to make sure that regulation will ensure investor protection and stability.
Twenty-four percent of those from the pro-regulation crowd want minimal regulation in order to be able to foster innovation.
The remaining 13% want regulation only for taxation purposes. Notably, the overwhelming majority of the survey respondents (84%) believe that cryptocurrency taxes are currently unfair.
Major impediments
The current taxation regime and the lack of regulatory clarity are believed to be stifling the industry's growth.
Notably, 90% of the poll respondents claim that they would be more willing to invest in crypto if the rules were clearer and taxation was less draconian.
Growing political force
Just like in other countries, cryptocurrencies are becoming politically relevant, with a staggering 91% of the respondents claiming that they would take into account specific crypto policies when casting their vote.
The lion's share of urban voters under 35 is more likely to support cryptocurrency-friendly candidates.
Current legal status
So far, cryptocurrencies remain in a legal grey area in India, meaning that this novel asset class remains unregulated.
In 2018, the Reserve Bank of India prohibited banks from providing cryptocurrency services, but the ban was then overturned in 2020 by the Supreme Court since it was deemed to be unconstitutional.
Dan Burgin
Vladislav Sopov
U.Today Editorial Team