Why does GetBit want India to review its cryptocurrency tax framework?

GetBit said India's current cryptocurrency tax framework, particularly the 1% Tax Deducted at Source (TDS), reduces market liquidity and increases trading costs. Founder Abhay Agarwal said regulators may revisit the framework within the next two to four years.

What is the impact of India's 1% Tax Deducted at Source on crypto trading?

GetBit founder Abhay Agarwal said the 1% TDS acts as a liquidity tax that disproportionately affects active traders and market makers. He argued that the rule has contributed to trading activity moving from domestic platforms to offshore exchanges.

How could an INR-backed stablecoin affect India's financial system?

Abhay Agarwal said an INR-backed stablecoin could improve cross-border payments and trade settlement by enabling faster transactions and lower costs. He added that global demand would ultimately depend on broader economic conditions and confidence in the rupee.

What role do stablecoins play in cryptocurrency adoption according to GetBit?

GetBit said stablecoins often provide users with their first exposure to digital assets through payments, transfers and access to digital dollars. Agarwal described them as a bridge between traditional finance and cryptocurrency markets.

What regulatory changes does GetBit believe India should prioritise?

GetBit said regulatory clarity should be the top priority for India's digital asset sector over the next two to three years. Agarwal also called for a review of the 1% TDS framework to help restore liquidity on compliant domestic platforms.

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GetBit sees India easing crypto taxes

Written by Isaac FrancisPublished Jun 17, 2026, 6:30 AM

GetBit founder Abhay Agarwal said India could move toward a more balanced cryptocurrency regulatory framework over the next two to four years.
He identified the 1% Tax Deducted at Source as the main factor reducing liquidity on Indian crypto platforms.
Agarwal said an INR-backed stablecoin could expand the rupee's role in cross-border payments and digital finance.

Abhay Agarwal, founder of GetBit, said India may revisit its cryptocurrency tax framework within two to four years as regulators gain greater visibility into the sector.

He said the 30% tax on crypto gains remains high, but argued that the 1% Tax Deducted at Source has had a greater impact on market liquidity and trading activity.

“The 30% tax on gains is high compared to most other asset classes, but the bigger issue is the 1% TDS,” said GetBit Founder Abhay Agarwal.

Agarwal said the transaction tax has increased trading costs for active participants and market makers, contributing to a shift of liquidity and trading activity toward offshore exchanges.

He said regulatory clarity and a review of the 1% TDS framework would help support domestic crypto markets, and following the interview there was no immediate market reaction available for major digital assets.

Agarwal also said stablecoins could help introduce more users to digital assets by enabling faster payments, lower-cost transfers and access to global financial networks.

He added that an INR-backed stablecoin could support cross-border payments and trade settlement, although broader economic conditions and international demand would determine its long-term adoption.