Budget 2023 India And Crypto: What’s In Store For The Community

Nirmala sitharaman, India's Finance Minister, is due to deliver the fifth budget to Parliament today. The crypto community in India hopes to see a 30% capital gains tax relief and an additional 1% SDT (withholding tax) on the profits of crypto assets introduced last year.

The crypto market negotiates positively with more than 1% increase before the budget for the 2023 union. The best cryptocurrencies, bitcoin and ethereum prices trade at $23,150 and $1,584, increasing by more than 1% in the past 24 hours.

The sensex and nifty 50 Indian stock indexes open in green, increasing by almost 1% at the beginning of trading. However, U.S. equity index futures are trading in red before the decision to increase rates today.

What’s There For The Crypto Community

India’s Finance Minister Nirmala Sitharaman is expected to change the tax structure, bringing a new tax slab in her fifth budget in Parliament. However, the government cannot review cryptocurrency tax policy this fiscal year, which keeps the community confused about its position on adopting cryptocurrency in India.

India experienced a massive decrease in crypto transaction volumes, despite an increase in the adoption of cryptography. Cryptocurrency exchanges based in India urged the government to reduce the tax burden and tds to 0.1 per cent. However, experts believe the taxes need a lot more clarity and no new changes are expected in the

The government can announce its take on CBDC, web 3.0, and the recently implemented e-Rupee. India has the potential to push for a common global standard for the regulation of the crypto ecosystem.

“The ubiquitous geography of the crypto ecosystem calls for a common approach to regulating these volatile instruments."

The 2022-23 Economic Survey identified concerns related to the lack of regulation. The government is taking a cautious approach to regulating crypto following the collapse of the crypto exchange

Worse Expected for the Crypto Market?

While the government is unlikely to announce a pro-crypto budget, there are those who think the government could increase surveillance on cryptography.

Global central banks are expected to announce rate hikes this week and the cryptocurrency market will remain volatile. Traders look forward to the Fed's pivot against a backdrop of a chill on inflation and solid employment data. However, experts anticipate the pivot in May this year.

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