Things are still very intense in India regarding the fight against the banning of the cryptocurrency sector. Exchanges within the region have asked the government to put up regions rather than the outright banning of the growing sector. Many nations have discussed how cryptocurrencies are a threat to security, anti-money laundering regulations, and terrorism funding, which have made several to put up regulations based on this effect.
The regulations have brought in changes in terms of customer identity, such as KYC. The know-your-customer requirements make it compulsory for all customers to drop important information before using the exchanges to transact. This has streamlined the process and has made the space safer for interest businesses with sensitive data on the internet.
Exchanges reach out to government officials regarding ban
Instead of following the current measures other countries are following, the Indian government has revealed plans to completely ban the sector, depriving citizens of holding private digital assets and causing crypto-based businesses in India to lose notable revenue. This has necessitated around seven exchanges to reach out to the region’s finance minister to find common ground.
The firms want to show the government ways to regulate the sector. In a recent comment on the latest development, Nischal Shetty, the CEO of WazirX, explained that India’s Blockchain council wants to send some recommendations on how the government can regulate the sector.
The note has some significant individuals it is addressed to. Some of those individuals are the nation’s finance minister, Nirmala Sitharaman, and the head of the region’s central bank, India’s Reserve Bank. The crypto service providers have joined hands to create standard regulatory measures, which are being used in different areas worldwide.
The note also explained some problems that the ban could cause while explaining other essential parts of the industry. The CEO of Unocoin, Sathvik Vishwanath, revealed that the industry is currently finding a way to regulate its practices.
The India space starts self-regulating
The expert explained that India’s digital asset space had resumed self-regulations by requiring users to fill some necessary data which meets some global KYC standard. He added that exchanges had created a unified process that many exchanges follow to expand the sector’s credibility.
According to the entrepreneur, he believes that regulations would prevent the industry from being used for illicit activities, being the major reason for the digital asset ban. While the group explained that it would still prevent its case formerly, it wants to be proactive to bring more results.
India’s crypto space continues to live in uncertainty as the region has had numerous unfriendly crypto regulations at different points. This has made it hard for investors to fully commit to digital assets within the region, causing some growth problems.
The industry is willing to stay and has shown various campaigns on social media and on the internet to show how large India’s crypto space has grown. The exchanges reveal that they have certain problems, which they have made known to the government. Still, the businesses continue to remain uncertain about plans.