News emerged that the Indian government is still showing hesitation in regulating cryptocurrencies. According to insiders, officials believe that introducing formal crypto regulations could hinder the government’s ability to oversee the broader economy and enforce financial policies effectively.

India has been in a long-standing debate over how to handle digital assets. While some sectors advocate for innovation and inclusion in the global crypto economy, others within the government worry that decentralized finance (DeFi) and cross-border crypto transactions could create loopholes in taxation and money flow monitoring.

Several Indian regulatory bodies have expressed concerns that legalizing or regulating cryptocurrencies could open doors to illicit activities such as money laundering, capital flight, and tax evasion. These concerns are further amplified by the lack of a global standard for crypto governance, making enforcement even more challenging.

Despite this, the demand for crypto investment continues to rise among Indian citizens, especially the younger demographic. As India finds itself at a crossroads, the global market is watching closely to see whether the country will eventually embrace a regulated framework or continue its cautious stance amid mounting pressure from both local and international stakeholders.