India’s cryptocurrency sector likely to update code of conduct

Indian digital currency exchanges are weighing updates to their self-regulatory code of conduct to avoid run-ins with regulators.

The move comes in the midst of increased scrutiny of the sector from regulatory bodies, including the income tax department, enforcement directorate, and others.

ET gave an account of Monday that the government might delay tabling the Cryptocurrency Bill in the forthcoming budget session of Parliament as it needs to have more discussions and build consensus on a regulatory framework system for nascent sector.

Leading cryptocurrency firms like WazirX, CoinDCX and CoinSwitch Kuber, just as different individuals from the Blockchain and Crypto Assets Council (BACC), are working to update the ‘Code of Conduct (COC)’, sources aware of the matter told ET. BACC is important for the industry body, the Internet and Mobile Association of India (IAMAI). BACC has acted as a voluntary Self-Regulatory Organization (SRO) for the industry in the absence of formal regulations.

IAMAI and BACC didn’t react to ET’s queries seeking comment.

On Monday, Prime Minister Narendra Modi called for worldwide corporations to manage the fast growing industry at the World Economic Forum’s Davos Agenda 2022 virtual event.