Is India going to ban Cryptocurrency?
Absolutely no, here you can read in detail why India will not ban Crypto. According to Triple-A, India has more cryptocurrency holders than any other country. India is the home of more than 100 million crypto holders.
Volatility is not the only fear of crypto traders but it’s also the government actions. When the developed world is adopting the blockchain ecosystem, there are some governments that have still fear crypto.
Clearly, there is some sort of technical awareness and a lack of trust in new systems. As we noticed in recent months some governments have banned the trading of cryptocurrency. The most shocking decision came from China that is the home of most cryptocurrencies founders and innovators.
Cryptocurrency ban in India is a Rumour?
There is an ongoing discussion in the crypto community that the Indian government is going to ban crypto trading in India. According to AFP, the Indian government is going to announce a crypto ban in the next parliament season. But, seems it’s a piece of half-cooked information that some news sources passed without verifying with Indian authorities.
— AFP News Agency (@AFP) November 23, 2021
Be informed that not a single authority from the Indian government has done any press conference nor have discussed anything about cryptocurrency with any media house yet. There is just a notification of a list of upcoming bills that can be passed by the Indian parliament in the next season is flowing on social media.
According to Indian news sources, “The Indian Government has proposed to introduce the Cryptocurrency and Regulation of Official Digital Currency Bill, 2021 in the upcoming winter session of Parliament. As per the list of businesses, the Bill seeks to prohibit all private cryptocurrencies in India. However, it allows for certain exceptions to promote the underlying technology of cryptocurrency and its uses. The Bill also seeks to create a facilitative framework for the creation of the official digital currency to be issued by the Reserve Bank of India.”
Why crypto ban is Impossible in India?
Today, it is the same situation with the cryptocurrencies in India that we are noticing from 2018. There is no need to panic, India is the home of the largest crypto community and a complete crackdown of cryptocurrencies is nearly impossible in India.
The crypto community needs to understand that India is not China, it’s a democratic country where the government can’t impose any decision without analyzing the financial loss of their masses, or upcoming elections.
Recently when banks stopped supporting crypto trading platforms, the Indian supreme court just reversed the banking decision, and finally, the crypto market is working normally in India so there is always hope in a democratic country.
Background of Cryptocurrencies in India:
Long back there was a discussion ongoing about the introduction of the crypto bill to regulate crypto investment in India. Below are some noteworthy events in the history of crypto in India:
- 2018: Banking Ban (Indian Banks stopped the payments from crypto trading platforms)
- 2019: News of a draft bill called “Banning of Cryptocurrency and regulation of official digital currency”.
- 2020: Supreme Court reversing the banking ban.
- March 2021: Indian finance minister said that India will take a calibrated approach to cryptocurrencies.
- 11 November 2021: Parliamentary Standing Committee invited a public consultation.
- 18 November 2021: Indian Prime Minister himself came forward to call for cryptocurrency regulations in India.
- 23 November 2021: Listing of “Cryptocurrency and Regulation of Official Digital Currency Bill, 2021″.
After this news, the Indian crypto community got in panic mode and started to sell out their crypto investment that causing a slowdown in some Indian crypto exchanges. However, the founders of Indian crypto exchanges are trying to persuade crypto traders that it’s all about only regulation, not a complete ban.
As per our analysis and media reports, the Indian government is planning to regulate crypto investment in India. There is no such information that India is going to ban crypto trading in India. Bookmark the article, we will update if there will be something new.