The Indian government has again displayed strict measures regarding the country’s crypto sphere. As per the measures from the BCCI (Board of Control for Cricket in India), the women’s cricket team will no longer receive sponsorship and advertisement from digital currency businesses.
BCCI Ends Crypto Sponsorships And Ads For Women’s Cricket Team
According to the Planet Sport report, the Women’s Premier League teams received a 68-page advisory from the BCCI. The advisory cited the activities that will not be advertised as those from digital currencies, tobacco, and gambling organizations.
The report also stressed that no franchisee is permitted to undertake any form of association or partnership with entities involved in digital currencies, whether directly or indirectly. This decision came after the preceding restriction on the men’s Premier League that occurred in 2022.
Meanwhile, the Indian Premier League had been partnering with not less than two local digital currency exchanges before the ban, CoinDCX and CoinSwitch Kuber. Coincidentally, the prohibition came when the crypto businesses quit advertising in the Premier League.
The board’s decision came in response to allegedly protecting players’ interests and the game’s “sacredness.” The regulatory body considered several threatening factors, including the “lack of regulation in the crypto industry” —risks associated with the volatile nature of digital currencies and the possibility of money laundering and illegal activities, per the advisory notice.
India Crypto Laws And Previous Ban
India had around 115 million digital currency investors in 2022. But the government introduced some laws that negatively affected the country’s digital landscape. First, it demanded that citizens pay a 30% tax for every unrealized digital currency gain on April 1, 2022. Secondly, every crypto-related transaction required a 1% TDS (tax deduction at source).
Investors may have hoped that 2023 would be better to ease the pressure. However, they are bound for disappointment due to the country’s 2023 national budget. Meanwhile, India’s finance minister, Nirmala Sitharaman, considers the global crypto regulatory framework the reason digital currency investors won’t see a change in the Indian digital currency framework.
The risk associated with crypto advertising became notable in 2022 when big digital currency firms went bankrupt. In some locations like the UK, the latest advertising rules are strict enough to send crypto firms’ executives to 2-year imprisonment if they fail to uphold regulations.
Meanwhile, the ban on crypto sponsorships and advertisements is not the first in the Indian sports industry. The BCCI banned tobacco, alcohol, and gambling-related sponsorships and advertisements in cricket. The Indian Premier League (IPL) has also imposed a similar ban on cannabis, CBD, and related products.
Cryptocurrencies and blockchain technology are gaining traction worldwide. While some countries have embraced the technology, others have taken a cautious approach, with China taking the lead in restricting cryptocurrency-related activities in the country.
Featured image from Pixabay, chart from TradingView.com.