Indian Politician Urges Bitcoin Reserve Pilot Amid U.S. Crypto Embrace

India may be on the verge of a strategic pivot in its crypto stance as Pradeep Bhandari, national spokesperson for the ruling Bharatiya Janata Party (BJP), called for the country to explore a Bitcoin reserve pilot. His appeal comes as the United States and other global powers accelerate their involvement in digital assets.

India’s Crypto Paradox: Taxed but Unregulated

India currently taxes crypto assets heavily while offering no formal regulatory framework. Under Section 115BBH of the Income Tax Act, profits from virtual digital assets (VDAs) like Bitcoin and Ether are taxed at 30%, with an additional 1% Tax Deducted at Source (TDS) on transactions exceeding ₹10,000 (approx. $115).

“Crypto is heavily taxed but remains unregulated,” Bhandari pointed out, urging the government to bring transparency and clarity to the sector.

Despite India’s role in coordinating a crypto-focused G20 working group, countries such as the U.S., Brazil, China, and Russia are already advancing their crypto strategies. Bhandari warned that India cannot afford to wait for global consensus while other nations build momentum.

Global Trends in Bitcoin Reserves

In his remarks, Bhandari referenced several key developments:

• The U.S. government is expanding its Bitcoin reserve program through budget-neutral purchases.
• Three U.S. states have already approved BTC as a reserve asset.
• Bhutan, a smaller nation, has invested in state-led Bitcoin mining as part of its sovereign financial strategy.

These moves suggest a global shift toward legitimizing crypto as part of national financial systems.

Why India Should Consider a Bitcoin Reserve Pilot

Bhandari believes India’s growing renewable energy infrastructure offers an ideal foundation for a sovereign Bitcoin reserve strategy. He emphasized this is not a reckless gamble, but a “measured and calculated” step forward.

“A Bitcoin reserve pilot could boost innovation, strengthen economic resilience, and signal India’s commitment to financial modernization,” he wrote.

He also stressed the need for regulatory clarity, which could foster investor trust while allowing fintech innovation to flourish under oversight.

Outlook: A Pivotal Moment for India’s Crypto Future

India stands at a critical crossroads. Embracing a pilot Bitcoin reserve strategy could position the country as a forward-thinking digital economy, balancing innovation with regulation. With global momentum rising, the time to act may be now.

Disclaimer

This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.