India Plans RBI-Backed Digital Rupee, Adds 1% TDS

India will roll out an RBI-backed digital rupee that officials say will be faster, reduce paper use and offer blockchain-enabled traceability under an RBI guarantee, Union Minister Piyush Goyal announced. The government is not imposing an outright ban on cryptocurrencies but is discouraging unbacked private digital assets and warning citizens against speculative tokens. Authorities have imposed a 30% capital gains tax on virtual digital assets and a 1% TDS on transactions to protect investors and financial stability. Heavy taxation has reportedly pushed much Indian crypto trading offshore. Commerce Minister Goyal and Finance Minister Nirmala Sitharaman say India must engage with stablecoins and evolving digital finance while retaining regulatory control.