A national spokesman for India’s ruling party called on the country to consider opening a Bitcoin reserve pilot, saying it would be a strategic step towards economic resilience.
Bharatiya Janata Party (BJP) spokesman Pradeep Bhandari in an article in India Today explain US Strategy Bitcoin (BTC) Reserve and Bhutan-led mining operations show that global finance is turning to cryptocurrencies.
He added that with India’s growing renewable energy infrastructure, he is positioned to develop a sovereign Bitcoin strategy.
“This is not a reckless hub,” Bandari wrote. “This is a step towards embracing the legitimacy of digital assets.”
Crypto assets are taxed but not regulated in India
India’s crypto tax policy remains in a dilemma. In India, cryptocurrencies are taxed but not regulated, Bhandari noted.
The government has imposed a 30% fixed tax on virtual digital assets (VDAs) such as BTC and Ether (eth). However, it has not yet established a regulatory framework for digital currencies.
According to the country’s 115BBH Article Income Tax Lawthe profit from selling cryptocurrencies is 30%. Although purchase costs can be deducted, there are no other provisions for expenses or losses.
Additionally, the 1% tax deducted in Source (TDS) applies to all cryptocurrency transactions in all cryptocurrency transactions deducted from the buyer or seller.
Bhandari noted that during India’s G20 presidential period in 2023, the government helped coordinate a crypto working group with the International Monetary Fund. However, other countries are already moving forward.
Bhandari said that despite the recommendation that appropriate courses will be taken, jurisdictions such as Russia, China, Brazil and other European communist countries led by the United States have not suspended their cryptocurrency efforts to await consensus.
He also listed the U.S. government’s plans to expand its BTC reserves through budget-neutral purchases, and pointed to three states that have authorized Bitcoin as a reserve asset.
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Bitcoin reserve pilots can achieve innovation, Bhandari says
Bhandari said India’s path forward should include regulatory clarity, starting with the sovereign BTC reserve plan.
He added that clear regulations can bring transparency and oversight to emerging asset classes and enable innovation while protecting investors.
“India is at a critical point,” Bandari wrote. “A measured Bitcoin strategy – perhaps a reserve pilot – could enhance economic resilience and project modernity.”
https://www.youtube.com/watch?v=npzqd7tsqmg
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