Rules on cryptocurrencies should be out soon: Sebi chief

Sebi chief Ajay Tyagi says a policy on cryptocurrency should come out first and then only the role of Sebi can be outlined.

Amid continuing volatility in bitcoin prices and growing concerns about investors’ safety, Securities and Exchange Board of India (Sebi) chairman Ajay Tyagi on Saturday said the regulations on cryptocurrencies should be out soon and the role various regulators will play is being finalised.

“The day Budget was presented, on the next day itself we have requested DEA (Department of Economic Affairs) to call a meeting of that very quickly...We want first a policy to be framed...We have actually decided that which regulator will do what and we want that the committee should come out with the regulations very quickly and we will fully contribute to this,” Tyagi told reporters.

Tyagi, who is part of the committee formed by the government to examine the pros and cons of virtual currencies (VCs), including launching an own cryptocurrency, said that a policy in this regard should come out first and then only the role of Sebi can be outlined.

The VCs are stored in digital or electronic format, making them vulnerable to hacking, loss of password and malware attack, which may also result in permanent loss of money. “As of now, finance minister Arun Jaitley has said that cryptocurrencies are not a legal tender,” Tyagi said. (Source: Livemint)