India takes proactive measures to streamline stock transfers and curb crypto migration. The Securities and Exchange Board of India (SEBI) plans to introduce a T+0 trade settlement cycle by March 28, aiming to provide same-day settlement options to traders. This move is crucial for the Indian stock market to stay competitive against the rising popularity of cryptocurrencies. SEBI Chair Madhabi Puri Buch emphasizes the need for instantaneous settlements, stating that failure to keep up with the crypto world could lead investors to shift their focus elsewhere. Transitioning to T+0 settlement will offer several benefits, including instant receipt of funds and securities, eliminating settlement risks, and giving investors greater control over their assets.
Regulatory Scrutiny on Crypto Exchanges
In a related development, the Financial Intelligence Unit (FIU) issued notices of noncompliance to several crypto exchanges for illegally operating in India. Binance, HTX, Kraken, Gate.io, KuCoin, Bitstamp, MEXC Global, Bittrex, and Bitfinex were among those served notices, compelling them to comply with Indian Know Your Customer and Anti-Money Laundering regulations within 12 days.
India’s Blockchain Initiatives
Despite its cautious stance on cryptocurrencies, India is actively embracing blockchain technology in various sectors. The country recently disclosed hosting over eight million government-issued documents across five different blockchain platforms. Utilizing platforms like Hyperledger Fabric, Hyperledger Sawtooth, and Ethereum, India implements blockchain solutions in areas such as certificate management, document verification, drug logistics, judiciary operations, and property records.