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Home Tech Crypto India securities regulator to reportedly bar IPO promoters from holding crypto

India securities regulator to reportedly bar IPO promoters from holding crypto

Document Analysis NLP IA

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neutral
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Sentiment-0.092777777777778
objective
redaction

Subjectivity0.35388888888889
not certain if it's an affirmation
Affirmation0.21666666666667

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Key Concepts (and relevance score)

Summary (IA Generated)

In what seems to be another anti-crypto move by regulators in India, IPO promoters may soon be forced to sell their crypto holdings before being allowed to participate in raising funds.

According to a promoters-to-sell-crypto-before-ipo/articleshow/81143765.cms” rel=”noopener nofollow noreferrer”>report by the Economic Times, the Securities Board of India may disqualify IPO promoters from raising funds if they hold cryptocurrencies.

According to people with inside knowledge of ongoing deliberations in the country’s parliament, cryptocurrency holders will be given three to six months to liquidate their virtual currency holdings once the ban comes into effect.

Even if the ban does not come into effect, some investment bankers say SEBI may still prohibit IPO promoters from owning cryptos.

For now, some IPO promoters have already come up with a temporary solution in the form of an affidavit stating that they will liquidate all cryptocurrency holdings in 24 hours if the rumored ban comes into effect.


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