Budget 2024 expectations: From tech innovation to tax regularisation, what crypto sector expect from the budget

livemint.com:

With less than a week left for the presentation of the interim budget by Union Finance Minister Nirmala Sitharaman, people from India’s cryptocurrency sector are hoping for the introduction of a well-defined legal framework and the regularisation of the tax structure to address taxation complexities.

The digital asset industry anticipates a much more nuanced approach to outlining a definition of Virtual Digital Assets (VDAs). In addition to this, policy implementation to boost innovation and research and development is also the key to a stronger crypto industry in the country.

“The tokenization of real-world assets is a $10 trillion opportunity and we are already witnessing the rapid advancements in the field of tokenized RWAs. There is an urgent need for investment and innovation in these segments, if nurtured with progressive policies, India has the potential to become a global leader in the digital asset space. We urge the government to amend the VDA definition, explicitly excluding tokenized assets with proven underlying value, similar to established precedents like gift card exemptions," said Manhar Garegrat, Country Head, of India & Global Partnerships at Liminal Custody Solutions.

With the wider adoption of AI and other advanced technology, Tapan Sangal, Founder, of Mai Labs, believes that 2024 is the year of “transitioning from foundational learning to imperative application of lessons" for the blockchain industry.

“From the budget to be announced soon, our trust in government extends to urging a reconsideration of the taxation system for the virtual digital asset industry, fostering a regulatory environment that optimally harnesses technological innovation. Ethical considerations and robust regulations are