Survey says 54 percent of Indians don’t want government to legalize cryptocurrencies


New Delhi: According to a recent survey conducted by LocalCircles on Wednesday, more than half of those surveyed in India are against the legalization of cryptocurrencies.

According to a Bloomberg report, the survey findings show that 54 percent do not want the government to legalize cryptocurrencies, but instead tax them like digital assets held in a foreign country, pollster LocalCircle said.

The research was based on a survey of 56,000 respondents over the past 15 days.

Only 26 percent of those surveyed said that cryptocurrencies should be legalized and then taxed in India, while the remaining 20 percent were of the opinion.

Meanwhile, the central government is considering introducing a bill in Parliament to regulate all private cryptocurrencies. The bill, which aims to create guidelines for regulating digital currencies, will be introduced during the winter session of Parliament.

The news had already triggered selloff on exchanges popular among Indian investors on Wednesday. Although the contents of the bill have not been finalized, a proposal to ban all private cryptocurrencies in India has been included.

“While many Indian citizens have invested in cryptocurrencies, the absence of a robust framework leaves investors open to higher risk. This is corroborated by the study findings as 71 per cent of the study respondents have little or zero confidence in it,” said Sachin Taparia, chief executive officer, LocalCircle.

Taparia said that advertisements on cryptocurrencies, platforms and exchanges do not adequately highlight the risks. The survey showed that 76 percent wanted advertising to be withheld until the rules were framed.

Reserve Bank of India Governor Shaktikanta Das had issued a warning regarding trading in digital currency. Das said there was a need for debate and discussion before the formal launch of cryptocurrencies in India. He has also said that even though the value of transactions in virtual coins has gone up, about 80 per cent of the accounts have a balance of less than Rs 2,000.