Major cryptocurrency exchanges in the country have decided not to advertise in IPL 2022 this year. The crypto exchanges have taken this decision after the implementation of new advertising rules on digital assets (Crypto or NFT) in the country. Under these new rules, crypto exchanges will have to be warned of the risks associated with advertising.
According to the Economic Times news, crypto exchange WazirX Chief Executive Nischal Shetty said that “All crypto exchanges have decided not to advertise in IPL. We as an industry are ensuring that the strict guidelines issued are followed. Shetty further explained that this decision has been taken by the Blockchain and Crypto Assets Council (BACC) which has more than two dozen crypto exchange companies involved.
Let us tell you that in the IPL last year, Coin DCX, WazirX and CoinSwitchKuber together had advertised 90 crores.
During the 2019 Cricket World Cup, crypto exchanges shed a lot of money. Due to which the crypto boom started in India. After the Cricket World Cup, there was a four-fold increase in the volume of cryptocurrencies in the country which made cryptocurrencies like bitcoin and ethereum a household name.
According to the new Advertising Standards Council of India (ASCI) rules, now all crypto advertisers will have to give a disclaimer on digital assets such as crypto products and non-fungible tokens. It must be mentioned under the disclaimer that all crypto products and non-fungible tokens (NFTs) are highly risky and unregulated. The market regulator will not be responsible for any loss incurred on transactions in digital assets. These new guidelines will be applicable to all TV, print and digital advertisements.
Government imposed tax on cryptocurrencies: In this year’s budget, the central government had announced a 30 percent tax on all crypto transactions, after which all cryptocurrencies in the country have now come under the tax net. According to media reports, the government is currently working towards bringing a crypto bill. At the same time, work is also going on to bring cryptocurrencies under the ambit of the Goods and Services Tax (GST).