India's Crypto Regulation Hearing: September 16 Could Bring Clarity for VDAs

The Indian government is set to discuss crypto regulation on September 16 as part of a parliamentary panel hearing. The meeting will focus on virtual digital assets (VDAs), which could bring changes to India's approach to cryptocurrencies beyond taxation and anti-money laundering.

India's Finance Ministry Department of Economic Affairs (DEA) will present its views on VDAs, addressing key concerns such as offshore crypto activity, investor protection, and clarity on who regulates VDAs and what defines digital assets.

The country has seen a significant growth in crypto trading, with 91.5% of India's crypto trading volume in FY2024-25 conducted through offshore platforms due to the 1% TDS tax imposed on domestic exchanges.