The Indian cryptocurrency industry is calling for tax reforms, including a reduction in capital gains tax and transaction fees. This comes as officials are engaging more frequently with industry leaders, signaling a shift towards greater understanding of the sector’s role in the economy. The proposed changes aim to attract domestic investors while maintaining regulatory oversight. 30% capital gains tax and 1% TDS on crypto transactions, implemented since 2022, have pushed over 90% of Indian trading offshore. Now, industry leaders advocate for a lower transaction tax rate (down to 0.1%) while preserving traceability. They cite the growing optimism surrounding crypto’s potential in India, with market predictions exceeding $15 billion by 2035. Coinbase and Binance are actively engaging in the Indian market, further boosting confidence. The Reserve Bank of India (RBI), once opposed to crypto, has taken a more neutral stance, avoiding direct conflict but not aggressively resisting regulation. However, public misconceptions persist, leading to delays in implementing comprehensive crypto regulations as the Supreme Court urges clearer policies. Despite these challenges, the government plans to revise a key policy paper and there is hope for positive changes. Industry experts believe this shift could boost India’s tax base and propel the country’s crypto sector to greater success.