India's Crypto Industry Welcomes Interim Regulatory Framework Proposal
India's cryptocurrency industry is welcoming a proposed regulatory framework from a parliamentary panel that aims to provide interim oversight of virtual digital assets (VDAs). The committee's recommendation, outlined in its 36th report on the Securities Markets Code, 2025, suggests establishing an interim regulatory mechanism through recognized Self-Regulatory Organizations (SROs) until a comprehensive law governing digital assets is enacted.
Industry leaders believe this proposal marks a shift from viewing crypto solely through the lens of taxation to considering a broader regulatory architecture. Vikaas M. Sachdeva, CEO of BitDelta India, said, 'For an industry that has long operated in an uncertain policy environment, this signals a maturing conversation between the sector and policymakers.'
The panel's report recommends creating clearer legal classifications for VDAs, acknowledging their diverse nature and potential resemblance to securities or other financial instruments. It also suggests clarifying regulatory treatment of crypto investment products and tokenized securities.
Industry experts see this as a positive development, with many arguing that an SRO-led framework could strengthen governance standards, improve accountability, and enhance investor protection during the transition period.