India imposes money laundering regulations on crypto transactions

Any participation in transactions involving virtual digital assets or cryptocurrency would come under the PMLA, the Centre has said

Any participation in transactions involving virtual digital assets or cryptocurrency would come under the PMLA, the Centre has said
Any participation in transactions involving virtual digital assets or cryptocurrency would come under the PMLA, the Centre has said

The exchange between virtual digital assets and fiat currencies to come under PMLA

The Indian government has taken a major step to regulate the cryptocurrency market in the country, bringing it under the ambit of the Prevention of Money Laundering Act (PMLA). In a notification, the Ministry of Finance warned investors against participating in virtual digital asset transactions.

Any participation in transactions involving virtual digital assets or cryptocurrency would come under the Prevention of Money Laundering Act or PMLA, the Ministry has said.

This was announced through a gazette notification, issued on March 7.

A step has been taken to tighten the misuse of digital assets.

“Exchange and transfer of virtual digital assets would also fall under PMLA laws,” the notification further said.

The move by India is in line with global trends, wherein digital-asset platforms are expected to follow anti-money laundering standards similar to those followed by other regulated entities such as banks or stock brokers.

According to the Income tax act, a virtual digital asset refers to any information, code, number, or token generated through cryptographic means.

With this latest move, the government seeks to tighten the oversight of digital assets and ensure that cryptocurrency transactions are done in a safe and secure way.

[With Inputs from IANS]

PGurus is now on Telegram. Click here to join our channel and stay updated with all the latest news and views

For all the latest updates, download PGurus App.

2 COMMENTS

  1. Indian-American takes oath as Texas county judge. Indian-American Democrat Juli A. Mathew took oath as a judge in Fort Bend County, Texas, for a second consecutive term.

    Proud of her achievement

  2. Arun Subramanian becomes first Indian-American to lead Manhattan Federal District Court.

    I am very happy to hear & feel proud of it – as much as his parents do !!

LEAVE A REPLY

Please enter your comment!
Please enter your name here