The Indian Council of Ministers, the country’s highest legislative body, issued a letter of intent this week on how they will tackle the blockchain. The government intends to develop a deeper understanding of the blockchain technology in close cooperation with the other member countries of BRICS. At the same time, the government will also decide the future of cryptocurrency trading.
The Indian government wants in the future to deal more closely with the blockchain technology. To this end, the local media reported that the Council has agreed to focus on the cooperation between the BRICS countries. The Indian Cabinet is the highest legislative body in the country, consisting of Ministers and Prime Minister Narendra Modi.
The letter of intent envisions joint research within while using the framework offered by BRICS for Inter-Bank Cooperation. Members of this group include the Export-Import Bank of India (Exim Bank), Banco Nacional de Desenvolvimento Economico e Social (BNDES) of Brazil, China Development Bank (CDB), Russian Vnesheconombank, and Development Bank of Southern Africa (DBSA) ). Another associate member is the New Development Bank, which was established by the BRICS as an alternative to the World Bank and the International Monetary Fund.
The Indian government declared that the blockchain and distributed ledger technologies have the potential to solve many problems in the financial sector. Also, it would be a great opportunity, especially for the emerging countries from BRICS. The joint initiative will make it easier to identify areas in which the blockchain can contribute to shared growth.
What about cryptocurrencies?
While the Indian government wants to position itself clearly for a blockchain adaptation and work with other countries to explore opportunities, the outcome for cryptocurrencies is not so clear for the moment. For example, on Tuesday, September 11, the Indian Supreme Court held a meeting where they have planned how to stop the cryptocurrency trading in the country. Due to time constraints, however, the decision was postponed to Monday, September 17. It remains to be seen whether the Supreme Court will adopt a crypto-friendly attitude will follow the government’s blockchain enthusiasm.