Reserve Bank of India backs crypto ban, tax department warns of evasion risks, documents show

Reserve Bank of India (RBI) has reasserted a call for a cryptocurrency policy “leaning towards prohibition,” while the country’s tax department warned that trading via offshore exchanges is hard to track, government documents reviewed by Reuters showed.

The documents reveal a preference among key Indian agencies to use tighter curbs on virtual digital assets, even though the government has yet to adopt a policy to ban or regulate them.