Cryptocurrencies have been dealing with a lot of uncertainty, recognition being a major part of it. However, there are a huge number of traders who are looking for some clarity in Budget 2021.
Speaking about his expectations from the Budget, Sumit Gupta, CEO at CoinDCX, said, “Cryptocurrency has been emerging as one of the fastest growing digital assets globally and there has been tremendous traction building up from India following the Supreme Court lifting of the banking ban. So while there might be delays in coming up with smart and sensible regulations, we would expect the government recognize crypto as a tradeable commodity. That would be a significant relief to the industry.”
Gupta said that there is a need for modification in the income tax bracket and GST law for cryptocurrencies.
“There are two challenges. One is lack of clear regulatory framework. What is needed here is a continuous dialogue with the industry players to shape up the regulatory framework around crypto. The second which is very important for the industry to grow is a clear picture on tax," he said.
"We are not against taxation, we would rather welcome taxation in this industry. It would provide uniformity and also enable the industry to serve the investors better. So I think removing the aspect of ambiguity among traders pertaining to taxation on their crypto profit – we would request the government to bring in amendments in the income tax bracket and GST laws when it comes to crypto trading,” he said.
He believes that clarity around crypto will also boost employment in the country. “There has been tremendous interest from people who want to be part of this ecosystem. There are a lot engineers, developers who want to build their career in block chains. It is essentially the next generation technology. So, I think a clarity on this will also help boost employment in the country. It can create lakhs of job opportunities over the next few years,” he said.Watch video for more.