Indian Politician Proposes Bitcoin Reserve Pilot Amid Rising Global Adoption

     

BJP Spokesperson Says Strategic BTC Reserves Could Boost India’s Economic Resilience

A national spokesperson for India’s ruling Bharatiya Janata Party (BJP) has urged the government to explore a sovereign Bitcoin reserve pilot, citing growing global momentum around BTC adoption.

Pradeep Bhandari, writing for India Today, argued that initiatives like the United States’ Bitcoin reserve discussions and Bhutan’s state-led mining efforts reflect a broader shift in financial strategy. He emphasized that India’s rapidly growing renewable energy capacity could support a Bitcoin-focused policy framework.

“This isn’t a reckless pivot,” Bhandari said. “It’s a calculated step toward embracing digital assets’ legitimacy.”

Crypto in India: Taxed, But Still Unregulated

Bhandari highlighted the regulatory gap in India’s current approach to cryptocurrency, noting that while crypto assets are subject to significant taxes, they remain outside of a formal legal framework.

The government currently imposes a flat 30% tax on profits from virtual digital assets (VDAs), such as Bitcoin and Ether, under Section 115BBH of India’s Income Tax Act. Purchase costs can be deducted, but other expenses or losses are not recognized.

A 1% Tax Deducted at Source (TDS) is also applied to crypto transactions over $115, affecting either the buyer or seller.

Despite India’s leadership in global crypto dialogues during its G20 presidency, Bhandari noted that other countries are advancing regardless of global consensus. He referenced the United States’ push for BTC reserve accumulation and noted that several U.S. states have already recognized Bitcoin as a reserve asset.

Sovereign BTC Reserve Could Unlock Innovation, Says Bhandari

Bhandari argued that launching a Bitcoin reserve pilot could offer India a strategic advantage while also bringing transparency and investor protection through regulatory clarity.

“India stands at a pivotal juncture,” he wrote. “A measured Bitcoin strategy — perhaps a reserve pilot — could strengthen economic resilience and project modernity.”

He concluded that a sovereign Bitcoin reserve initiative could serve as a bridge between innovation and stability in the country’s evolving financial landscape.