Parliament of India Holds Discussion on Future of Web3

Last updated: December 7, 2023 02:37 EST
. 1 min read

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The lower house of the Indian Parliament, Lok Sabha, held a discussion on the importance of web3 and blockchain sector in India on December 6.

Rajeev Chandrasekhar, Minister of State for Electronics and Information Technology, emphasized the importance of Web3 and Blockchain technologies in India’s digital future.

Addressing crucial questions, Chandrasekhar outlined the government’s support for Web3 startups, emphasizing the significance of promoting emerging technologies and raising awareness around Web3.

Indian Government Warms Up to Web3

Reacting to the parliamentary discourse, Om Malviya, President at Tezos India, a blockchain adoption entity, commended the growing synergy between Web3 startups and the Indian government.

Malviya told Cryptonews.com that India is a fertile ground for Web3 startups, with entrepreneurs increasingly exploring blockchain, cryptocurrencies, and decentralized technologies. He expressed optimism about the transformative potential of this vibrant ecosystem in contributing to India’s economic growth.

Malviya applauded government initiatives such as Algobharat, Regulatory Sandbox, and the creation of a startup-friendly environment.

These efforts are expected to generate employment opportunities and attract foreign investment, fostering a thriving Web3 startup ecosystem in India.

Malviya remains optimistic that India will emerge as a global leader in blockchain innovation.

India Yet to Adopt Crypto Regulations

The current regulatory environment in India still remains in a gray area because of lack of regulatory clarity. India is among the top countries with the highest rate of crypto adoption as reported by Chainalysis earlier this year.

Despite this the government is yet to clarify regulations surrounding crypto. Crypto traders in India are also dealing with high tax rates. There is currently a 30% income tax on crypto earning and a direct 1% GST on crypto transactions.

India recently concluded Presidency of G20 where crypto reguations was one of the major topics. Indian crypto firms are expected clear regulations as soon as next year.