Foreign Minister Arun Jaitley declared on Friday that the government of India does not recognize digital currency as “legal currency.” The Economic Times reported that Jaitley also suggested that the government has yet to formulate an official position on Bitcoin or other cryptocurrencies. In response to a question about the Indian government’s position, he noted:
“Recommendations are being worked at. The government’s position is clear, we don’t recognise this as legal currency as of now.”
The Foreign Minister’s comments come just weeks after the country’s Supreme Court had sent notices to India’s central bank, tax agency, market regulator, and other government bodies seeking a formal response to a court petition calling for cryptocurrency regulation.
Jaitley’s previous comments about cryptocurrency include his remarks to Parliament in August, when he said that India has no existing regulations providing oversight for Bitcoin and other digital currencies. He also told legislators that the central bank has not approved any cryptocurrency-related licenses for businesses or other entities in the country.