The post ‘Regulation is protection’ – Indian MP Raghav Chadha on India’s crypto crisis appeared on BitcoinEthereumNews.com.

While many countries are moving from doubt to clear plans for digital assets, India remains stuck in confusion. Today, the government treats Virtual Digital Assets (VDAs) in a strange way. It taxes them as if they are fully legal, but regulates them as if they are risky or unwanted. Investors pay a high 30% capital gains tax and a 1% TDS on every transaction. This means the government collects money from crypto users but does not give them proper legal protection. India’s crypto market still lacks clear rules, strong investor protections, and a dedicated system to curb money laundering. As a result, millions of Indians face heavy taxes without basic safeguards. This concern was raised in the Rajya Sabha during the Union Budget 2026–27 debate by MP Raghav Chadha. MP Raghav Chadha on India’s crypto status In the Union Budget 2026–27 speech, titled “The Good, The Bad, and The Way Forward,” Chadha warned that unclear rules are not stopping crypto. Instead, they are pushing investors and companies to move abroad. Many are choosing places like Dubai and Singapore, where laws are clearer and more supportive. Because of this, India is losing talent, investment, and future tax income. To combat this, Chadha suggested, “Legalise virtual digital assets like an asset class.” Additionally, more than 12 crore Indian investors use foreign platforms to avoid local restrictions, and as a result, around ₹4.8 lakh crore in trading volume has moved overseas. This is not a small loss, as nearly 73% of India’s total VDA trading now happens on foreign exchanges. At the same time, about 180 Indian crypto startups have shifted their headquarters to countries with friendlier rules. Solution offered by the MP Moving forward with his speech, Chadha also pointed out that ignoring crypto is not the solution. Instead, he believes India should…

---

Filed under: News - @ February 10, 2026 1:22 pm