Polygon Exec Hails COINS Act as India’s Web3 Game-Changer—Here’s Why It Matters

India's crypto crossroads just got a roadmap—and Polygon's payments chief says the COINS Act could flip the script.

From red tape to Web3 dominance?

The proposed legislation—dubbed 'COINS'—isn't just regulatory tidying. Insiders call it a Trojan horse for India's blockchain ambitions, with Polygon's team arguing it could finally untangle the tax headaches and banking bans that throttled crypto growth. 'This isn't compliance—it's competitive advantage,' notes one exec.

What’s buried in the fine print?

While details remain scarce, whispers suggest the act might greenlight tokenized securities and stablecoin pilots—a stark contrast to last year's 30% crypto tax fiasco. Traders still wince remembering how that move vaporized liquidity faster than a DeFi rug pull.

The cynical take:
Watch for Delhi to claim credit when Web3 booms—after years of kneecapping the industry with one hand while courting it with the other. Classic bureaucracy meets blockchain.

The COINS Act was recently introduced in India by Web3 venture firm Hashed Emergent and policy group Black Dot. It wants to create clear rules for the crypto industry, focusing on stopping money laundering, protecting the right to hold your own crypto, and addressing privacy issues.

Several industry leaders, including Aishwary Gupta, Global Head of Payments at Polygon Labs, have welcomed the proposal. Gupta said that India needs to reform its crypto regulations, especially to establish clarity and reform taxation. 

COINS Act: Trailblazer For Crypto Regulatory Framework 

COINS Act establishes crypto-related rights for the users and investors, strengthening security compliance with strict KYC, AML policies, and proposes tax reforms. Gupta said that the COINS Act will establish the long-awaited clarity in the crypto space. He explained that this can position India as the forefront of the Web3 revolution. 

In an interview with Coinpedia, Gupta says, “The COINS Act is a constructive step forward—it shows that the industry is maturing and ready to co-create policy with the government. Its tiered approach, differentiating between protocol developers, intermediaries, and custodians, is aligned with global best practices. If it can serve as a reference for India’s upcoming frameworks, we’ll be moving toward clarity without stifling innovation.” 

India to Build an Innovation-Friendly Framework for Crypto

Gupta urges India to make laws for crypto users to operate overseas with legal permission and clarity.  He said, “India has no shortage of talent, but in the absence of clear guardrails, developers often look overseas to register entities or deploy products. India should aim to build frameworks that are interoperable with global norms, giving local builders a passport to operate abroad with credibility.”

Additionally, the Polygon head pushes India to create a balanced tax regime that ensures compliance while encouraging innovation, investment, and job creation in the blockchain space. He insists the policymakers craft legislation that aligns with India’s vision of becoming a technology and financial powerhouse.