Gujarat National Law University Report Urges Clear Crypto Regulation in India

TheNewsCryptoPublished on 2026-03-11Last updated on 2026-03-11

Abstract

A recent report from Gujarat National Law University, produced with the Society of Indian Law Firms, urges India to establish a clear regulatory framework for crypto-assets. It highlights that approximately 120 million Indians are already using cryptocurrencies despite the absence of comprehensive regulation. The report argues that the current regulatory gap has negatively impacted capital flows, industry growth, and innovation. It proposes a multi-agency regulatory model rather than oversight by a single body, given the cross-disciplinary nature of crypto involving markets and payments. The recommended approach emphasizes institutional coordination to enhance consumer protection, address illicit finance, and support blockchain innovation.

A recent project research from Gujarat National Law University advises India to create a clear crypto-asset regulatory framework, proposes a systematic framework for regulation, and provides a thorough analysis of India’s actual stance on crypto-assets.

The project report, titled “Crypto-Assets in India: Assessing the Case for Regulation.” Which was prepared in association with the Society of Indian Law Firms. Meanwhile, the Senior judges, prominent lawyers, policy experts, and leaders of the digital asset sector convened at the launch event to discuss the future direction of crypto regulation in India.

Rising Crypto Adoption in India

The report highlights the extent of cryptocurrency acceptance in India, according to Prof. S. Shanthakumar, Director of Gujarat National Law University, nearly 12 crore Indians are already using crypto assets despite the absence of a comprehensive regulatory framework. He added, “The report ultimately presents five possible regulatory models, leaving policymakers with practical options to consider while shaping India’s approach to crypto regulation.”

Many major economies have implemented explicit crypto-asset laws informed by comparative regulatory models and global policy trends. India established measures and extended anti-money laundering obligations to crypto, but its lack of a clear, comprehensive crypto framework has affected capital flows, industry development, and innovation, as per the report.

Report Calls for Balanced Crypto Regulation

Meanwhile, Kalyanjit Hatibaruah, Web3 Technology Management Consultant, shared an AI video on LinkedIn that summarized the report. Which pointed out that the report concludes that since the crypto industry combines a variety of domains, including markets and payments, it cannot be regulated by a single body. Following consultations with senior officials and authorities, the report suggests a multi-agency regulatory model.

The report finally calls for a calibrated regulatory approach that includes institutional control and cooperation between different authorities, because it says that could improve consumer protection, address issues with illicit finance stability, and promote the overall growth of blockchain-based innovation.

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TagsBlockchainCrypto RegulationsIndia

Related Questions

QWhat is the main recommendation of the Gujarat National Law University report regarding crypto-assets in India?

AThe report recommends that India create a clear and comprehensive regulatory framework for crypto-assets.

QHow many Indians are estimated to be using crypto assets according to Prof. S. Shanthakumar?

ANearly 12 crore (120 million) Indians are estimated to be using crypto assets.

QWhat type of regulatory model does the report suggest for the crypto industry and why?

AThe report suggests a multi-agency regulatory model because the crypto industry combines various domains like markets and payments, making it impossible for a single body to regulate effectively.

QWhat are some of the negative impacts of India's lack of a clear crypto framework mentioned in the report?

AThe lack of a clear framework has negatively affected capital flows, industry development, and innovation in India.

QWhat key benefits does the report say a calibrated regulatory approach could provide?

AA calibrated regulatory approach could improve consumer protection, address issues with illicit finance stability, and promote the overall growth of blockchain-based innovation.

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