Introduction
On July 17, 2025, officials at the Reserve Bank of India (RBI) indicated they are studying international crypto regulations in preparation for drafting a policy paper aimed at shaping India’s stance on digital assets.
Background
Historically wary of crypto, India imposed stringent tax policies and discouraged banks from servicing crypto firms. However, as countries worldwide adopt more progressive regulatory frameworks, India appears poised to revisit its position.
What’s Happening?
RBI’s internal working group is analyzing policies from the U.S., EU, and Singapore, with the goal of balancing innovation and financial stability. The paper will include consultations with industry stakeholders and consumer advocates.
Reactions
WazirX founder Nischal Shetty tweeted: “Encouraging to see RBI taking steps toward dialogue with the industry rather than imposing unilateral bans.”
Impact
A transparent, balanced policy could unlock billions in economic potential for India while safeguarding consumers and strengthening compliance.
Next Steps
A draft consultation paper is expected by late 2025, followed by public feedback and possible legislative action in 2026.
