Wednesday, May 22, 2024
ad
HomeNewsIndian government brings crypto under money laundering law

Indian government brings crypto under money laundering law

Crypto would now fall under the Prevention of Money-Laundering Act, 2002, in an effort to tighten laws on cryptocurrencies in the nation.

The government has stated that all forms of cryptocurrency operations, including trading, safekeeping, and associated financial services, would now fall under the Prevention of Money-Laundering Act, 2002, in an effort to tighten laws on cryptocurrencies in the nation.

The finance ministry’s department of revenue announced in a notification that the aforementioned Act would apply to all exchanges involving virtual digital assets and fiat money, exchanges involving one or more types of virtual digital assets, and transfers of digital assets.

The participation in and provision of financial services relating to an issuer’s offer and sale of a virtual digital asset, as well as the safekeeping or administration of virtual digital assets that enable control over virtual digital assets, will also be covered under the same law.

Read More: Bing chatbot to offer responses in three different tones

Although it has taken certain steps to reduce cryptocurrency usage for unlawful purposes, the Centre has not yet developed complete legislation on the subject. With the recent change, law enforcement authorities will have more authority to combat money laundering through cryptocurrency channels.

In the Union Budget 2022, the government had previously declared a 30% tax on cryptocurrencies. Additionally, it said that 1% TDS would be retained each time an investor sells a virtual digital asset above a predetermined limit.

Subscribe to our newsletter

Subscribe and never miss out on such trending AI-related articles.

We will never sell your data

Join our WhatsApp Channel and Discord Server to be a part of an engaging community.

Sahil Pawar
Sahil Pawar
I am a graduate with a bachelor's degree in statistics, mathematics, and physics. I have been working as a content writer for almost 3 years and have written for a plethora of domains. Besides, I have a vested interest in fashion and music.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Most Popular