Innovation doesn't die overnight—it erodes slowly under the weight of rules, approvals, compliance steps, and uncertainty. When governments over-regulate fast-moving sectors, they don't just control risk; they suffocate creativity, slow economic growth, and push entrepreneurs to friendlier markets.
Nowhere is this more evident than in India's crypto ecosystem.
Buying crypto has become a challenge. P2P trading—once the simplest, safest route—is now nearly impossible due to intense scrutiny. Centralized exchanges aren't much better: new platforms keep appearing, hacks shake user trust, and regulatory uncertainty means no one knows which exchange is safe for long-term holding.
Building a crypto company in India is even harder. Compliance rules are unclear, taxation feels punitive, and "ease of doing business" vanishes the moment you enter the digital-assets domain. The result? The sector stalls, investors stay away, and Indian builders quietly relocate to Dubai, Singapore, or Europe—places that treat innovation as an opportunity, not a threat.
Countries don't become global tech leaders by restricting what doesn't yet exist. They lead by enabling experimentation, trusting builders, and creating frameworks that balance safety with freedom.
Over-regulation doesn't just slow innovation—it exports it.