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Modi’s push for global crypto regulation and ethical AI shows India’s leadership in the digital econ

What do you think of when you hear the words cryptocurrency and artificial intelligence? What comes to your mind: innovation and opportunity, or risk and uncertainty? The future, or the present? These are among the questions that Narendra Modi Indian Prime Minister raised as G20 president. He made calls for a global framework to regulate these technologies and ensure their responsible and beneficial use.

The most disruptive technologies of our time, cryptocurrencies and artificial intelligence (AI), will revolutionize a wide range of enterprises and industries, posing new problems and concerns for billions of people globally. They come with risks and uncertainties, like as instability, criminal activity, environmental effects, moral quandaries, and societal repercussions. Therefore, it is essential to establish an international framework that regulates these technologies and ensures their ethical and useful use. Indian Prime Minister Narendra Modi has lobbied for this specifically in his capacity as G20 president. The use of artificial intelligence and cryptocurrencies pose challenges that require international cooperation and guidelines. Modi's call for a unified framework aligns with India's position on cryptocurrency regulations, which include a 30% tax on crypto gains in 2022. Additionally, India ranks fourth globally in AI talent, reflecting its growing prominence in the field.

He also underlined how important it is to protect everyone's interests, especially those of parties in emerging and developing nations. India has participated actively in international debates around cryptocurrency legislation as the G20's chair in 2023. The Financial Stability Board (FSB), the Financial Action Task Force (FATF), and the International Monetary Fund (IMF) have all issued guidelines, and India has also released a presidency note outlining its recommendations for a worldwide framework for crypto assets. In addition to being volatile, engaging in illegal activity, and raising environmental issues, cryptocurrencies also provide macroeconomic hurdles. India’s proactive stance on crypto regulation is commendable, as it shows its awareness of the opportunities and risks associated with these technologies. With over 15 million users and $6.6 billion in transactions, India has a sizable and expanding cryptocurrency market. With over 300 startups and 10 unicorns, the crypto ecosystem in India is likewise thriving and innovative. The legal and regulatory issues that India must address include the status of cryptocurrencies, taxation, KYC requirements, consumer protection, and cyber security, to name just a few.

India must therefore combine its own interests with its obligations to other countries. In order to encourage innovation and growth while ensuring compliance and responsibility, India has to establish a clear and uniform legal framework for cryptocurrencies. India should work with other nations to develop a set of standards and guidelines for cryptocurrencies that promote stability and confidence while upholding diversity and sovereignty.

Furthermore, Modi stressed the importance of integrating rapid technological advancements and protecting stakeholders’ interests. India’s growing prominence in the field of AI, ranking fourth globally in AI talent, makes it a significant player in shaping global discussions on ethical AI and emerging technologies. Modi said that AI has the power to transform various sectors and industries, such as agriculture, health care, education, and manufacturing. He also called for ensuring its ethical use, as it involves human values, rights, and responsibilities.

India has been taking several initiatives to develop responsible AI, such as the National Strategy for Artificial Intelligence and the Responsible AI for Social Empowerment Summit. Through its involvement in the Global Partnership on Artificial Intelligence (GPAI) and the Indo-French Centre for Applied Mathematics (IFCAM), India has been collaborating with other countries to enhance AI research and innovation. India has been utilizing AI applications for a range of humanitarian reasons, such as animal welfare, gender empowerment, and disaster management., animal protection, and disaster management. India's proactive approach to ethical AI is notable since it demonstrates the nation's dedication to participating in the international discussion on AI governance and ethics. Given that India has a population of 1.3 billion people, many of whom deal with issues like poverty, illiteracy, famine, and disease, there is a significant opportunity to use AI for social good in this country. India's rich and diverse culture can provide important insights and viewpoints on AI ethics and values.

Therefore, India needs to balance its technological aspirations with its social obligations. India must establish a strong, inclusive ecosystem for AI that promotes innovation and excellence while upholding equity and justice. India must also partner with other nations to build a global framework for moral AI that upholds human rights and dignity while fostering growth and well-being.

Modi’s push for a global crypto regulation and ethical AI reflects India’s vision of becoming a leader in the digital economy and innovation. It also signals India’s willingness to collaborate with other countries on shaping the future of these emerging technologies. India has a special potential and duty to take a leading position in the international regulation and morality of cryptocurrencies and AI. India should take advantage of this chance and uphold this duty since doing so will be in the interests of the entire world.

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