To ensure a safe trading space for such crypto investors, The government may allow the use of crypto as assets in the country, though this use might be taxed for the first time ever. This means people in India may be able to buy or sell crypto currencies as shares, gold or bonds.
Does this tax system help investors to save from froud?
Why you think crypto was tax free? You can't use your any kind of money without pay government tax. Think you sold your cryptocurrency and put your money in the bank. From there the government will deduct income tax, deduct your debit / credit card fees. When you go to buy a product on local market with that money, you have to pay VAT on that product as well. and if your country accepted bitcoin and you go for withdraw your crypto on ATM. here ATM will cut a transcation fees with your ATM withdrawal. then how do you use your cryptocurrency without tax?