Crypto advertisement is a bone of contention in India, especially because there is no regulatory clarity.
Crypto advertisement has been a focal point of discussion in India’s long due crypto regulations.
BACC Working Towards Crypto Advertisement Regulations
Cryptocurrency Exchanges have drawn a considerable amount of flak for the past several weeks owing to their advertisement blitz during the 2021 ICC Men’s T20 World Cup.
The issue has been discussed several times by the Lawmakers and the Judiciary.
However, clarity on advertisement regulations still seems like a distant dream.
That’s why industry association the Blockchain and Crypto Assets Council (BACC) is working towards formulating the guidelines for advertising crypto products in India, as reported by the Hindu BusinessLine.
BACC has collaborated with the Advertising Standards Council of India (ASCI), the premier body for advertisement regulation in the country.
“We are in discussions with the Advertising Standards Council of India on the proposed steps for every industry player to take before they open up their advertising in general. These discussions are ongoing and, hopefully, our guidelines will be ready within the next few weeks.”Ashish Singhal, Founder & CEO of CoinSwitch Kuber and co-Chair of BACC.
It is positive news for the Cryptocurrency Exchanges.
Other than crypto advertisement, BACC is also working towards forming the Know Your Customer (KYC) norms for better identification of users. KYC norms are a global industry standard that is used to prevent money laundering and terror financing.
Plight of Exchanges in Recent Past
Cryptocurrency Exchanges have been battling criticism from all corners.
Last month, BCCI forbade IPL teams from associating with crypto companies. The issue was also raised by the Prime Minister, Mr. Narendra Modi, and the Parliamentary Standing Committee on Finance; both labelled the advertisements as misleading which overpromise the returns over investment.
Taking these developments into account, exchanges responded by calling off any new advertisements until regulatory clarity is achieved.
It was expected that the Crypto Bill would be tabled during the just-concluded Winter Session of the Parliament. But, to stakeholders’ dismay, it did not happen.
India ranks 2nd in the world in Chainalysis Global Crypto Adoption Index. Its crypto market has grown up by 641% with institutional investment forming the bulk of the market. The country has one of the youngest populations who has a penchant for technological innovation.
Crypto has opened the door to a new industry that can generate employment and contribute to India’s economy. With regulatory clarity, the country can become a hub for crypto startups.
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