The statement of the SEBI Chief in the matter of investment of fund houses in cryptocurrencies comes at a time when the government is considering making laws regarding cryptocurrencies in the country.
Markets regulator SEBI has asked mutual funds not to invest in cryptocurrencies until the issue of regulation is clarified. SEBI Chairman Ajay Tyagi said in a press conference on Wednesday that the market regulator is of the view that unless there is a policy clarity from the government in this matter, it will not be right to invest in crypto assets.
The issue of regulation of cryptocurrencies heated up
The statement of the SEBI chief in the matter of investment of fund houses in cryptocurrencies comes at a time when the government is considering making laws regarding cryptocurrencies in the country. A bill should have been brought in this regard in the winter session of Parliament but it was not. Could be This bill can be brought in the next session of Parliament in February. The SEBI chief also mentioned a company’s plan to launch a blockchain mutual fund. He said that Invesco was about to launch the CoinShare Global Blockchain ETF fund in November, but withdrew the plan due to lack of a clear policy regarding cryptocurrencies in the country.
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‘Don’t invest in cryptocurrencies until there is a law on digital assets’
He said that if any mutual fund seeks advice on launching an NFO, SEBI will advise them not to invest in cryptocurrencies until a law on digital assets is enacted in the country. In the midst of this statement from SEBI in cryptocurrencies, the discussion on digital currency of RBI (Central Bank Digital Currency) is going on. The RBI said in its report on the country’s banking sector on Tuesday that cryptocurrencies can have a great impact on macroeconomic policy. So first its basic model will be necessary. After this it should be extensively examined so that it has the least impact on monetary policy and banking system.
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