India's Crypto Industry Needs a Balanced Regulatory Framework

A growing number of Indian citizens are turning to digital assets as a potential investment opportunity, with over 12 crore individuals participating in the market.

Despite this trend, India currently lacks a comprehensive regulatory framework to govern the crypto industry. A recent joint report by Gujarat National Law University (GNLU) and the Society of Indian Law Firms (SILF) has highlighted the need for a calibrated regulatory approach to address this issue.

The report's findings emphasize the importance of establishing a dedicated statutory framework to ensure coordinated participation from relevant regulators. This, in turn, would help reduce regulatory ambiguity and provide clarity for market participants.

According to the report, various regulatory models have been proposed, including institutional oversight and self-regulation under government oversight until a robust ecosystem is established.