India’s Crypto Regulation Paper May Drop in June 2025

India is poised to release a pivotal discussion paper on cryptocurrency regulation by June 2025, signaling a potential turning point for digital asset oversight in the world’s fifth-largest economy. The move aligns with global regulatory momentum, particularly influenced by U.S. developments under the Trump administration.

The draft framework, now in its final stages, will propose policy options for governing crypto assets while incorporating recommendations from the IMF and FSB synthesis paper. Public consultation is expected to begin imminently, offering stakeholders a chance to weigh in on international best practices.

This regulatory push comes amid India’s contradictory stance toward digital assets. While imposing a stringent 30% tax on crypto gains in 2023, authorities have repeatedly clarified that taxation doesn’t confer legal status. The Reserve Bank of India maintains its cautious position even as the government explores formal oversight mechanisms.