As dark clouds gather above India’s crypto sector, Binance has joined the country’s top internet association in a bid to shape the industry’s future.
The association is the top trade body representing digital firms in India and was a key voice petitioning lawmakers about the Reserve Bank India’s (RBI) ban on financial institutions providing banking services to companies operating with crypto. The ban was overturned by the Supreme Court earlier this year.
Binance’s membership comes at an opportune time, with India’s Ministry of Finance moving forward with a proposal for a blanket ban on cryptocurrencies roughly one week ago.
Binance expands influence in India
Binance announced its IAMAI membership on June 18, stating that it will work to implement global best practices in an effort to drive the development of India’s crypto and blockchain industries.
“Binance is honored and excited to join IAMAI and contribute our part in shaping the Indian blockchain industry for sustainable growth and development,” said Binance founder Changpeng Zhao (CZ).
“We hope to further accelerate the progress of blockchain adoption in India and are committed to working with IAMAI on an innovation-led and progressive framework for digital assets and blockchain.”
The collaboration will see Binance launch its ‘Blockchain for India Fund’ to support innovation in India’s distributed ledger technology sector (DLT), in addition to working with regulators to guide the development of a sustainable framework for crypto assets in India.
IAMAI Vice President Gaurav Chopra, welcomed Binance to the association, stating:
“Given their hands-on experience of regulatory compliance in various countries, we are excited to work with Binance and other industry players in developing a constructive policy framework for crypto assets in India.”
India’s crypto sector in crisis
Despite the crypto ban being stuck down in March of this year, India’s nascent crypto industry is still facing significant challenges, including reports of banks continuing to exclude firms from accessing financial services, calls from virtual currency exchanges for clarity regarding Goods and Services Tax obligations, and the renewed threat of regulatory prohibition.