India’s Web3 Industry Upbeat After Trump’s Ele
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Posted On: 11/27/2024 4:43:04 PM
India’s Web3 Industry Upbeat After Trump’s Election Victory
The re-election of Donald Trump as U.S. President has sparked optimism in the Web3 and crypto industry in India. His unwavering support for digital currencies and intentions to turn the U.S. into a global crypto leader has raised hopes of a more favorable environment for digital assets worldwide. Indian industry leaders believe that Trump’s policies could indirectly influence India’s approach to regulating digital assets.
When Trump won the presidential race on November 5 against Kamala Harris, Bitcoin, the largest digital currency, soared to over $80,000, showing just how confident investors were in his pro-crypto stance. Indian crypto exchanges saw trading volumes increase fivefold, signaling growing domestic interest in the space. “Trump’s policies might not directly impact India immediately, but global sentiment and investor behavior will eventually affect us,” said Sumit Gupta, co-founder of CoinDCX, an Indian digital asset exchange.
Despite this optimism, India’s crypto industry faces significant challenges. Since April 2022, the government has imposed a 30% flat tax on all digital asset income, along with a 1% tax deducted at source (TDS) on trades exceeding ₹10,000 ($118). These measures have driven traders to overseas exchanges, with an estimated $3.85 billion leaving Indian platforms. Domestic trading volumes have dropped by 90% and India risks losing $1.2 trillion in trade volume over the coming years, according to a report by the Esya Center.
India’s Web3 industry has repeatedly called for regulatory reforms, including lowering the TDS to 0.01%, allowing losses to be offset, and treating digital assets like other capital assets. So far, these appeals have gone unanswered. “A more crypto-friendly U.S. under Trump could set a global precedent, encouraging India to reconsider its restrictive policies,” Gupta noted.
Trump’s vision to integrate Bitcoin into U.S. national reserves and provide tax incentives for crypto investments has bolstered confidence in the global crypto market. Experts believe his leadership could promote institutional investment and innovation, benefiting not only the U.S. but also crypto startups worldwide.
While India’s Finance Minister Nirmala Sitharaman has stated that digital currencies cannot serve as legal tender, the Web3 industry believes evolving global trends may push India to adopt a more balanced approach. “Supportive U.S. policies could inspire regulatory clarity in India, fostering innovation while addressing risks,” said Rohan Sharan, founder of Timechain Labs.
As the world’s largest democracy, India stands at a crossroads. Embracing progressive crypto policies could unlock immense potential for the country’s Web3 sector, positioning it as a leader in the global digital economy.
The optimism arising out of the election of Donald Trump to the Presidency will, hopefully, be followed in due course by the enactment of enabling policies which allow enterprises like NextPlat Corp. (NASDAQ: NXPL) (NASDAQ; NXPLW) to access an even broader range of Web3 solutions that help them to attain their business objectives.
NOTE TO INVESTORS: The latest news and updates relating to NextPlat Corp. (NASDAQ: NXPL, NXPLW) are available in the company’s newsroom at https://ibn.fm/NXPL
Please see full terms of use and disclaimers on the Web3MediaWire website applicable to all content provided by W3MW, wherever published or re-published: https://www.Web3MediaWire.com/Disclaimer
The re-election of Donald Trump as U.S. President has sparked optimism in the Web3 and crypto industry in India. His unwavering support for digital currencies and intentions to turn the U.S. into a global crypto leader has raised hopes of a more favorable environment for digital assets worldwide. Indian industry leaders believe that Trump’s policies could indirectly influence India’s approach to regulating digital assets.
When Trump won the presidential race on November 5 against Kamala Harris, Bitcoin, the largest digital currency, soared to over $80,000, showing just how confident investors were in his pro-crypto stance. Indian crypto exchanges saw trading volumes increase fivefold, signaling growing domestic interest in the space. “Trump’s policies might not directly impact India immediately, but global sentiment and investor behavior will eventually affect us,” said Sumit Gupta, co-founder of CoinDCX, an Indian digital asset exchange.
Despite this optimism, India’s crypto industry faces significant challenges. Since April 2022, the government has imposed a 30% flat tax on all digital asset income, along with a 1% tax deducted at source (TDS) on trades exceeding ₹10,000 ($118). These measures have driven traders to overseas exchanges, with an estimated $3.85 billion leaving Indian platforms. Domestic trading volumes have dropped by 90% and India risks losing $1.2 trillion in trade volume over the coming years, according to a report by the Esya Center.
India’s Web3 industry has repeatedly called for regulatory reforms, including lowering the TDS to 0.01%, allowing losses to be offset, and treating digital assets like other capital assets. So far, these appeals have gone unanswered. “A more crypto-friendly U.S. under Trump could set a global precedent, encouraging India to reconsider its restrictive policies,” Gupta noted.
Trump’s vision to integrate Bitcoin into U.S. national reserves and provide tax incentives for crypto investments has bolstered confidence in the global crypto market. Experts believe his leadership could promote institutional investment and innovation, benefiting not only the U.S. but also crypto startups worldwide.
While India’s Finance Minister Nirmala Sitharaman has stated that digital currencies cannot serve as legal tender, the Web3 industry believes evolving global trends may push India to adopt a more balanced approach. “Supportive U.S. policies could inspire regulatory clarity in India, fostering innovation while addressing risks,” said Rohan Sharan, founder of Timechain Labs.
As the world’s largest democracy, India stands at a crossroads. Embracing progressive crypto policies could unlock immense potential for the country’s Web3 sector, positioning it as a leader in the global digital economy.
The optimism arising out of the election of Donald Trump to the Presidency will, hopefully, be followed in due course by the enactment of enabling policies which allow enterprises like NextPlat Corp. (NASDAQ: NXPL) (NASDAQ; NXPLW) to access an even broader range of Web3 solutions that help them to attain their business objectives.
NOTE TO INVESTORS: The latest news and updates relating to NextPlat Corp. (NASDAQ: NXPL, NXPLW) are available in the company’s newsroom at https://ibn.fm/NXPL
Please see full terms of use and disclaimers on the Web3MediaWire website applicable to all content provided by W3MW, wherever published or re-published: https://www.Web3MediaWire.com/Disclaimer
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