Cryptocurrency regulation will be a major topic among investors in the coming year. According to recent reports, the government is finally interested in space and will commit money to drafting space-related regulations. The move has been a long time coming, and it sees the US following in the footsteps of other global powers. Without a doubt, Russia and India will have a substantial impact on future American policies. As Congress and President Joe Biden’s administration continue to develop their own policies, both of these countries will have some effect.
As the week unfolds, cryptocurrency investors around the world are waiting for additional news from any of the three countries. Indeed, the US, India, and Russia have the world’s largest, sixth-largest, and eleventh-largest economies, respectively. As a result, any crypto rules that these countries enact will set a precedent for the rest of the world. Crypto enthusiasts anticipate a plethora of loose regulations from this triumvirate, considering China’s severe policies.
Things are still tranquil in the United States. Vice President Joe Biden, on the other hand, is working on a crypto executive order. According to investors, the order might come as soon as this month. Meanwhile, in the coming weeks, Congress will meet to address digital assets. While we wait for the policies to be published, other world powers appear to be moving forward with their own limits.
India is making news again just a day after announcing the terms of its crypto bill, and investors aren’t happy. Many investors thought the country’s intention to charge a 30% tax on cryptocurrency holdings was bad enough. The Indian government is now emphasizing that the levy does not make cryptocurrency trade legal; rather, it maintains that the tax would help the country identify criminal blockchain activity.
Meanwhile, lawmakers have stepped up their anti-crypto rhetoric, claiming that Bitcoin and Ethereum would never be recognized as legal cash in the US. It’s also evident that this bill contains some questionable sections, such as one that grants the government the authority to define what a non-fungible token (NFT) is.
As things continue to shape up in India, there are certainly some speed bumps. In Russia, things appear to be going in the same direction. Things appeared to be going well even in the face of initial difficulty; the Russian central bank, which proposed a full-fledged crypto banning, received pushback from President Vladimir Putin. Putin is against a total ban, citing Russia’s energy sources as a competitive edge in the bitcoin mining industry. He proposed that the central bank and the more optimistic finance ministry work together on looser policies. A regulatory policy is now in place for the body to review.
However, there is a flaw in Russia’s preparations. While Putin brags about his country’s power reserves and competitive advantage, research reveals that this isn’t the most accurate portrayal. As a result of crypto mining, some Russian cities are experiencing power outages and shortages. Citizens are mining cryptocurrency in their homes, putting pressure on energy companies to meet demand. The proposed legislation will very probably face opposition as a result of this development.
