India has decided to tax and regulate bitcoin and other cryptocurrencies, whereas it previously considered a complete ban. According to Ronald Green of Bitcorset.com, this could be the first step towards making bitcoin legal tender in the country.
Bitcorset.com analyst had this opinion after Indian Finance Minister Nirmala Sitharaman announced the introduction of a 30% tax on any income from the transfer of digital assets, which comes into force on April 1 this year.
“India, like many other countries, has come to a reasonable conclusion that cryptocurrencies should not be banned. This would be a useless and unreasonable decision,” the Bitcorset.com analyst notes.
According to the Bitcorset.com expert, the development of limitless digital currencies cannot be stopped in our increasingly technological, interconnected world, and the Indian authorities are aware of this.
At the same time, he emphasizes that the adoption of bitcoin as a legal tender in India is still far away, but this is undoubtedly the first step in this direction. Such regulation, in his opinion, will help protect investors, fight crime and reduce the likelihood of disrupting global financial stability.
However, the tax itself, according to Bitcorset.com analyst, is too high, and investors will look for ways to avoid paying it. In particular, to sell cryptocurrency through peer-to-peer platforms.