Indian VDA investors face risks amidst shift to P2P Platforms

economictimes.indiatimes.com:

regulatory framework for VDAs is imperative. This framework should strike a balance between fostering innovation and ensuring investor protection. India has the potential to lead the way in the global Web3 revolution. With a perfect blend of homegrown dynamic startups and investors who passionately embrace the potential of blockchain technology, India holds the key to unlocking immense possibilities. However, as with any emerging industry, it requires support from the government in the form of robust regulation. Denying banking and UPI services to compliant Indian exchanges is not only unjustified but also counterproductive to the nation's policy objectives of protecting Indian VDA users and maintaining oversight in the ecosystem. It is important to note that most of the Indian exchanges are compliant and employ robust measures, such as maintaining a KYC database and utilizing software that ensures secure and transparent trades. As these start-ups are invested in long-term business engagement, the interests of the investors are central. Therefore, it is crucial to grant UPI access to VDA exchanges that are registered in India and comply with Indian laws, such as the Prevention of Money Laundering Act (PMLA) and the Income Tax Act.

Did you Know?

SAP has launched a new enterprise on the Metaverse with the aim of accelerating cloud adoption among Indian firms. The interactive and immersive ‘cloud on wheels’ platform will enable customers to experience the full range of SAP’s offerings and reimagine processes for improved business outcomes.

This will enable Indian investors to transact seamlessly, ensure investor protection, and prevent capital outflow to non-compliant platforms. Unfortunately, VDA Exchanges