The Securities and Exchange Board of India (SEBI) Chairman Ajay Tyagi has impeded any plans, if any, of the country’s mutual fund houses that were looking to invest in crypto-related assets.
While speaking at a press conference on Tuesday, Tyagi advised domestic mutual funds against investing in crypto-assets or products related to the field. He has asked them to wait for government legislation before offering exposure of such volatile assets to investors, as per local reports. He noted:
“Those who have invested in mutual funds, – in companies related to crypto-assets or foreign firms through fund-of-funds (FOF) – my thinking is that till we get clarity on its (crypto’s) policy, businesses should not make such investments.”
Like many countries worldwide, India is yet to offer clear regulations on crypto assets. The Reserve Bank of India, the country’s central bank, proposed a bill on crypto assets during the winter session of the Indian parliament. However, any decisions on the bill were deferred until further notice.
Speaking at an event organized by the US president Joe Biden, India’s prime minister Narendra Modi called for global collaboration on regulations related to crypto assets and warned against the misuse of it.