In short: “Business unusual: On engaging with the Myanmar junta” argues that the rush by major powers and neighbours to deal with Myanmar’s military regime is short-sighted, because trade cannot thrive in a country at war (GS Paper 2). “Coming of age: On the Binance hack” argues that the way Binance handled a $6.3 billion theft shows that India should regulate crypto rather than keep it at arm’s length (GS Paper 3).
Editorial 1: Business unusual, on engaging with the Myanmar junta (India and its neighbourhood)
The Hindu, 4 November 2026 · GS Paper 2: India and its neighbourhood; effect of policies and politics of developed and developing countries on India’s interests
Why is it in the news?
Months after an election that the editorial calls a sham installed junta chief Min Aung Hlaing as Myanmar’s civilian President, the military is still fighting its own people. The editorial estimates that more than a lakh people have died since the 2021 coup. Even so, Min Aung Hlaing has visited India, Thailand, Vietnam and three other ASEAN member-states since being sworn in, and the U.S. has reportedly held talks with the regime.
Background
- The military seized power from the elected government in February 2021, which led to a civil war between the junta, the People’s Defence Forces and ethnic armed organisations.
- In late 2023, three ethnic armed organisations launched a major offensive in Shan and Rakhine States; the editorial says Beijing tacitly allowed it and has since pressed two of them into ceasefires and into returning territory.
- Russia and China are the regime’s main arms suppliers, and the junta has used air strikes on villages in rebel-held areas.
- ASEAN’s Five-Point Consensus of April 2021 calls for an end to violence and for dialogue, but the regime has not honoured it.
Why is each country engaging?
| Country or group | Interest described in the editorial |
|---|---|
| China | An outlet to the Indian Ocean and security for its oil and gas pipelines; it deals with both the junta and rebel groups that hold rare earths, jade and tin. |
| India | Reviving the stalled Act East policy, including the Kaladan Multi-Modal Transit Transport Project. |
| United States | Access to heavy rare earths such as dysprosium and terbium, used in electric vehicles and weapons systems. |
| ASEAN members | Doing business with the regime, even as the grouping still endorses the Five-Point Consensus. |
| Japan | Reportedly pressing the Financial Action Task Force to take Myanmar off its blacklist. |
What does the editorial argue?
- The world has grown numb to violence because of wars elsewhere, and the junta has used that indifference to act with impunity.
- Deals with the regime are short-sighted, since trade thrives in a country at peace and not where armed groups keep fighting for control.
- A junta that has killed its citizens and blocked every move towards democracy cannot deliver that peace.
- Unless the generals answer for war crimes, Myanmar will remain a war zone, which will harm both its people and businesses seeking to trade with it.
The other side
| Concern raised | Response / position |
|---|---|
| Engagement rewards the junta | India shares a land border of about 1,643 km with Myanmar and cannot ignore whoever holds power in Naypyidaw, especially on insurgency and border security in the North East. |
| Isolation is the right tool | Years of pressure have not ended the war, and withdrawal could leave China with even greater influence next door. |
| Connectivity projects serve the regime | Projects such as Kaladan serve India’s North East, and New Delhi can also engage ethnic groups that control territory along the route. |
Way forward
- Engage all stakeholders, including the civilian opposition and ethnic armed organisations, and not only the junta.
- Link economic engagement to concrete steps such as humanitarian access and a reduction in air strikes on civilians.
- Work with ASEAN to give the Five-Point Consensus real follow-up instead of symbolic support.
- Protect India’s border regions through fair treatment of refugees, stronger border management and development in Manipur and Mizoram.
- Assess connectivity and mineral projects for their security, human rights and local community impact.
Conclusion: India has real interests in Myanmar, but stability cannot come from dealing with the regime alone. Lasting access to trade and connectivity depends on a political settlement that includes Myanmar’s people.
Editorial 2: Coming of age, on the Binance hack (regulating crypto assets)
The Hindu, 4 November 2026 · GS Paper 3: Indian economy and issues relating to mobilisation of resources; challenges to internal security through communication networks; basics of cyber security
Why is it in the news?
The editorial describes a recent hack at Binance, the world’s largest cryptocurrency exchange, as the biggest theft ever at the exchange. About $6.3 billion worth of assets were stolen. Binance restored about 95% of users’ assets within four days, using its emergency fund and its own resources.
What is the SAFU fund?
- The Secure Asset Fund for Users (SAFU) was set up by Binance in 2018 to protect user assets in a security breach or platform-level incident.
- It is financed from the trading fees that the exchange collects from users.
- As the theft exceeded the fund, Binance also drew on its own resources to make users whole.
India’s current approach
- A flat 30% tax applies to gains from virtual digital assets, along with 1% TDS on transfers, under the Finance Act, 2022.
- Crypto service providers have been covered by the Prevention of Money Laundering Act, 2002 since March 2023 and must register with the Financial Intelligence Unit-India.
- The Supreme Court set aside the RBI’s 2018 banking curbs on crypto in Internet and Mobile Association of India v. RBI (2020).
- India has no comprehensive crypto law, and the RBI has repeatedly warned of risks to financial stability while promoting its own Central Bank Digital Currency, the e-rupee.
What does the editorial argue?
- The hack does not show that crypto itself is unsafe, because hacking is now routine across sectors and some attacks will always get through.
- The real lesson lies in preparation and response: a stable revenue source financed an emergency fund that was used when needed.
- Large crypto companies now follow prudential practices, protect customers and cooperate with law enforcement, so the “Wild West” view is out of date.
- If the worry is that crypto has no backing, policymakers could allow only stablecoins, which are backed by real assets.
- Refusing to regulate and taxing crypto heavily pushes Indians towards the black market or foreign exchanges, so India should regulate and mandate an industry-maintained emergency fund.
The other side
| Argument in the editorial | Response / position |
|---|---|
| Binance’s response shows maturity | One large exchange could cover the loss from its own balance sheet; smaller platforms may not be able to, as the 2024 WazirX hack in India showed. |
| Stablecoins are a safer option | The RBI worries that widely used dollar-backed stablecoins could weaken monetary policy and capital controls. |
| Regulation will protect users | Regulation can also give crypto official legitimacy and draw more small investors into a volatile asset, so investor education and limits on advertising matter too. |
Way forward
- Publish a clear discussion paper and move towards a licensing law for exchanges and custodians.
- Require proof of reserves, segregation of customer assets, cyber security audits and incident reporting.
- Study a mandatory protection fund, financed by the industry, as the editorial suggests.
- Review the tax structure so that activity moves to regulated Indian platforms instead of offshore ones.
- Coordinate internationally, using the IMF-FSB synthesis paper of 2023 and laws such as the EU’s Markets in Crypto-Assets Regulation (MiCA).
Conclusion: Whatever view one takes of crypto, millions of users and large sums are already involved. A clear legal framework can protect them better than a policy of high taxes and official distance.
Key Facts for Prelims
- Myanmar joined ASEAN in 1997; it shares a land border of about 1,643 km with Arunachal Pradesh, Nagaland, Manipur and Mizoram.
- Kaladan project route: Kolkata to Sittwe by sea, Sittwe to Paletwa by the Kaladan river, and Paletwa to Zorinpui in Mizoram by road.
- FATF (set up in 1989, based in Paris) placed Myanmar on its high-risk “blacklist” in October 2022.
- Dysprosium and terbium are heavy rare earth elements used in high-performance magnets.
- Stablecoin: a crypto asset designed to hold a stable value, usually by being backed by reserves such as a currency.
- Virtual digital assets are taxed at 30% under Section 115BBH of the Income-tax Act, with 1% TDS under Section 194S (as enacted by the Finance Act, 2022).
Practice Questions
Prelims MCQs
Q1. Which of the following Indian States share a land border with Myanmar?
1. Manipur
2. Mizoram
3. Tripura
4. Nagaland
Select the correct answer using the code given below:
- 1, 2 and 3 only
- 1, 2 and 4 only
- 2, 3 and 4 only
- 1, 3 and 4 only
Show answer
Answer: (b) Arunachal Pradesh, Nagaland, Manipur and Mizoram border Myanmar. Tripura borders Bangladesh and Assam and Mizoram, but not Myanmar.
Q2. The Kaladan Multi-Modal Transit Transport Project connects India’s eastern seaboard to Mizoram through which port in Myanmar?
- Yangon
- Kyaukphyu
- Sittwe
- Dawei
Show answer
Answer: (c) The route runs from Kolkata to Sittwe by sea, then along the Kaladan river to Paletwa, and by road to Mizoram.
Q3. With reference to crypto assets in India, consider the following statements:
1. Gains from virtual digital assets are taxed at a flat rate of 30%.
2. Crypto service providers are covered by the Prevention of Money Laundering Act, 2002.
Which of the statements given above is/are correct?
- 1 only
- 2 only
- Both 1 and 2
- Neither 1 nor 2
Show answer
Answer: (c) Both are correct. The 30% tax came through the Finance Act, 2022, and crypto service providers were brought under the PMLA in March 2023.
Mains Practice Questions
Q. India’s engagement with the Myanmar junta reflects a tension between strategic interests and democratic values. Examine this statement in the context of India’s Act East policy. (15 marks, 250 words)
Approach: Introduce the post-coup situation. In the body, cover border security, Kaladan, China’s influence, the Five-Point Consensus, refugees and the case for engaging all stakeholders. Conclude on interests served through an inclusive political settlement.
Q. Should India regulate crypto assets rather than discourage them through taxation? Critically examine in the light of recent developments. (15 marks, 250 words)
Approach: Introduce India’s current approach. In the body, cover consumer protection, money laundering, tax and offshore migration, RBI’s stability concerns, stablecoins and global frameworks. Conclude with a balanced regulatory path.
FAQs
What were The Hindu editorials on 4 November 2026?
The Hindu editorials on 4 November 2026 covered the growing international engagement with the Myanmar junta, and the lessons for Indian crypto regulation from the hack at the Binance exchange.
What is ASEAN’s Five-Point Consensus on Myanmar?
The Five-Point Consensus of April 2021 calls for an end to violence, dialogue among all parties, an ASEAN special envoy, humanitarian assistance and a visit by the envoy to meet all parties.
What is the Kaladan Multi-Modal Transit Transport Project?
The Kaladan project links Kolkata by sea to Sittwe port in Myanmar, then by river and road to Mizoram, giving the North East an alternative route to the Siliguri Corridor.
How does India currently tax crypto assets?
India taxes gains from virtual digital assets at a flat 30% and applies 1% TDS on transfers under rules from the Finance Act, 2022, but it has no full regulatory law for crypto.
हिंदी सारांश
4 नवंबर 2026 के द हिंदू के पहले संपादकीय में म्यांमार की सैन्य सरकार से बढ़ते अंतरराष्ट्रीय संपर्क की आलोचना है। संपादकीय कहता है कि चीन, भारत, अमेरिका और आसियान देश खनिज, संपर्क और व्यापार के लिए जुंटा से जुड़ रहे हैं, पर युद्ध से घिरे देश में व्यापार नहीं पनप सकता। दूसरा संपादकीय बाइनेंस हैक पर है, जिसमें 6.3 अरब डॉलर की संपत्ति चोरी हुई और एक्सचेंज ने चार दिनों में लगभग 95% संपत्ति लौटा दी। संपादकीय के अनुसार भारत को क्रिप्टो पर प्रतिबंधात्मक रुख के बजाय नियमन और उद्योग-संचालित आपातकालीन कोष अनिवार्य करने पर विचार करना चाहिए।
Sources: The Hindu: Business unusual, on engaging with the Myanmar junta (editorial, 4 Nov 2026); The Hindu: Coming of age, on the Binance hack (editorial, 4 Nov 2026).
Related reading on GSMitra: Daily Editorial Analysis 3 November 2026, Agnipath Changes Explained for UPSC, PIB News Today for UPSC: 5 November 2026.
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