India is presenting new cryptocurrency disclosure rules. Operative today, any company that deals in cryptocurrencies will have to reveal their complete crypto holdings to the government as a share of their financial statements. 

According to the Ministry of Corporate Affairs (MCA), a national regulatory authority on corporate affairs in India, all company that “has operated or invested in cryptocurrency or virtual currency throughout the financial year” is now grateful to reveal all cryptocurrency holdings, complete profits, and losses, and advances or deposits established from anyone trading or capitalizing in cryptocurrencies. 

What does India’s new regulation signal? 

The MCA crypto regulation originates at a time of legal uncertainty for cryptocurrencies in India. In January 2021, the Indian government presented a bill into its parliament that proposed a ban on cryptocurrencies apart from the digital currency that the RBI plans to issue in the future. 

The posts from the government on what the cryptocurrency ban means for the industry have been varied. On March 15, Reuters reported that the mining, trading, issuance and possession of cryptocurrencies are predictable to be criminalized in India under the forthcoming legislative bill. 

India’s crypto industry has led an intensive strength to counter the government’s efforts to ban crypto. Industry leaders have been trying to make the situation that a full crypto ban would hurt not only crypto users and the states unbanked but could harm a slew of other businesses in the country as well. The central bank mentioned there were 342 crypto products and services in India in a November 2020 RBI Bulletin. 

India placing a crypto ban is not going to make people discontinue using crypto. It is just going to make people use crypto unlawfully, Britton stated. That’s going to make individuals distrust the government. And they know the whole world is using this as it’s not going to end people doing it.? 

Source - forkast.news/india-cryptocurrency-disclosure-mandate/