Another statement from a senior Indian official indicates that there will remain uncertainty about the state of digital assets in the country for the foreseeable future.

In response to a public debate on the Union Budget for 2022-2023 in the Rajya Sabha, the upper house of India’s bicameral parliament, Finance Minister Nirmala Sitharaman said she would not “legalize or ban” cryptocurrencies for the time being. The minister added that “the ban or ban will come later” when the ministry considers the results of the consultations.

Seetraman also mentioned that the state has a “sovereign right to levy taxes” on income that citizens receive from cryptocurrency transactions. In addition, the government’s ability to enforce cryptocurrencies is not related to the issue of legal recognition of the asset class. This argument mirrors a statement made earlier this week by the head of India’s tax authority, who said that a plan to tax digital assets does not necessarily legalize the trade.

India has recently become a hotbed of major regulatory news as rumors of a possible ban rocked the global crypto space at the end of 2021. At the moment, it appears that the immediate threat has passed and the bill containing the ban has been dropped. Parliament’s agenda for the current session. By continuing to evaluate its options for cryptocurrencies, the Indian government has made progress toward introducing a central bank digital currency, or CBDC, later in 2022 or 2023.

Source: CoinTelegraph

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