India's Central Bank Supports Cryptocurrency Ban, Tax Department Warns of Tax Evasion Risks

CoinFeed July 8 news, according to Reuters, India's central bank reiterated its call for a "tendency to ban" on cryptocurrency policy, while the country's tax department warned that transactions through offshore exchanges are difficult to trace. These documents reveal that although the government has not yet introduced a policy to ban or regulate cryptocurrencies, major Indian government agencies tend to impose stricter restrictions on virtual digital assets. Since a court ruled in 2018 that the Reserve Bank of India (RBI)'s policy of effectively banning cryptocurrencies was invalid, India has allowed cryptocurrencies to exist in a gray zone. Legislation drafted in 2021 to ban private cryptocurrencies has never been submitted to parliament, and a discussion paper on the topic has been repeatedly postponed.