Recently in talks with Coindesk, the CEO of the Indian crypto exchange WazirX, Nischal Shetty, spoke against the idea of regulations in crypto. Shetty’s argument was triggered by a statement given by Deepak Kapoor, founder of BEGIN India Think Tank, who stated that Bitcoin should be traded like stock instead of adding it to a country’s financial system.
Deepak expressed his concerns regarding the premium digital currency multiple times in an interview with Business World where he speculated that Bitcoin solely can be responsible to destroy the economy of a country instead of adding to it. The solution that he presented was aggressive regulations to an extent that Bitcoin would be treated like a stock.
The concerns raised by Deepak were a result of the regulatory unclarity in the Indian cryptosphere. The government has not yet shown a clear stance regarding the position of cryptocurrencies in their financial systems. In the same interview with Business World, Ratan Sharda, a popular author, editor, and TV panelist stated his concerns about illicit activities that could be facilitated unless a monitoring system is installed in place to keep track of the activities in the crypto market. Terror financing is the leading issue that countries are facing, which can only be fought through regulations.
The decentralized nature of bitcoin and other cryptos have cost the digital currencies their reputation multiple times through these illicit activities. Recently, a group of hackers hacked the servers of Argentina’s Immigration agency and demanded 355.8718 bitcoins as a ransom for decryption of the files. Although the government is fighting this act of terrorism by avoiding any negotiations, these incidents are costing crypto its reputation.
As for India, Shetty had an alternate approach to the matter of regulations as he believed that Bitcoin should be seen as an asset like gold which cannot be bought like stocks. Unaffected by the debates of crypto and its involvement in malicious activities, Indian volumes in peer-to-peer trade for bitcoin have been soaring. Due to the population and the increasing popularity there, it is also being predicted that India might be responsible for the next bull run in the crypto space.