No timeline for introduction of regulatory guidelines for virtual digital assets industry: MoS Finance
Therefore, any comprehensive regulatory framework on the subject can be effective only with significant international collaborations on evaluation of the risks and benefits and evaluation of common taxonomy and standards, Minister of State for Finance Pakaj Chaudhary said in a written reply in the Lok Sabha.
Further, he said, the need to balance investor protection and innovation must be assessed in light of the broader objective of protecting the Indian economy from the risks posed by the VDA sector while maintaining the financial and monetary stability of the economy.
Moreover, he said, due to the cross-border and digital nature of this sector, investor protection measures can only mitigate certain risks to a limited extent and cannot entirely eliminate them.
The government has undertaken formal and informal consultation with stakeholders including industry and with relevant international organisations from time to time on policy formulation of crypto assets.
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