India Empowers Cyber Police Against Cryptocurrency Crime
India’s Ministry of Home Affairs takes a decisive step in strengthening its defense against cryptocurrency-related cybercrime.
Over 2,800 cyber police personnel have undergone extensive training in advanced cryptocurrency forensics.
This aligns with broader efforts to modernize law enforcement in the digital era and fortify legal frameworks against emerging technology misuse.
This initiative aligns with the nationwide commitment to combat cybercrime, incorporating technologies like mobile app abuse research and anonymisation networks.
The centre’s involvement signifies a national commitment to combat cybercrime.
Technologies such as mobile app abuse research and anonymisation networks are now part of the arsenal against digital crimes.
These efforts are synchronous with the country’s exploration of blockchain for mainstream applications.
This significant step enhances efficiency and transparency in corporate procedures, showcasing blockchain’s practical applications beyond cryptocurrencies.
Despite these strides, India’s cryptocurrency ecosystem faces challenges due to a stringent tax policy introduced in February.
The proposal includes a 30% tax on profits from crypto transfers and a 1% Tax Deducted at Source (TDS) on digital asset transactions.
This led to a decline in local cryptocurrency exchange volumes, with users shifting activity to international platforms.
An exodus of users from domestic exchanges to international platforms is reported, estimating 17 lakh users shifting in the past year.
The 1% tax has created a fiscal discrepancy, with potential revenue loss estimated at $420 million, overshadowing the actual collection of $30 million.
The Indian government’s measures to combat crypto-related crime and its cautious approach to blockchain applications reflect a nuanced response to digital currency challenges.
As discussions on the long-term viability of tax regulations unfold, these initiatives mark crucial steps in establishing a secure and progressive digital economy.