- Nasscom says that governmental position needs to be clarified.
- The Association believes digital assets are illegal at this stage.
India followed the lead of its bigger Asian neighbor, China and adopted a tight approach towards the cryptocurrency industry. While digital money like Bitcoin, Ether, or Ripple’s XRP, are not banned altogether, they cannot be used as a legal tender or traded as a financial instrument.
However, the president of National Association of Software and Services Companies (Nasscom) Debjani Ghosh believes, that cryptocurrencies are illegal in India, which means that the Association won’t help them dealing with regulatory and legal hurdles. The crypto related startups should settle their disputes directly with the government.
“It is the law of the land, and hence, we have to work with it. If we do not agree, we have to go back to the government and speak about why cryptocurrencies aren’t correct [legal].”
The ambiguous position of the government towards the cryptocurrency industry has stirred a lot of discussions. The companies had to file petitions to the Supreme Court to get a better understanding of the regulatory landscape, since earlier this year India’s central bank, the Reserve Bank of India (RBI), barred banks from providing services to the cryptocurrency related businesses.
National Association of Software and Services Companies admits the problem; however, it takes a wait-and-see approach, claiming that the situation needs to be clarified.
“The genesis of this problem, however, lies in the failure of policy-making not keeping pace with rapid technological changes,” Debjani Ghosh added.
Meanwhile, Nasscom has invested in the blockchain technology and partnered with Canada’s Blockchain Research Institute focused on promoting a digital economy based on decentralized technology.
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