India: A Back & Forth Affair With Cryptocurrency
24 November 2021 - 8:22PM
NEWSBTC
India has reportedly been set to ban all but a few private
cryptocurrencies. What does it mean, and what could lie ahead?
Throughout the history of cryptocurrency, many countries have
attempted to ban and limit access to coins and digital wallets.
Some have had success for a small window of time, only to see it
busted wide open when newer coins emerge and other countries join
in. India has reportedly joined the list of people to go all out,
as they are on track to ban all but a few private cryptocurrencies
after the government announced on Tuesday it was introducing a new
financial regulation bill. The back and forth affair with India and
crypto continues. A bill was recently presented, and sets to shake
things up for many of big name coins in India. The ‘Cryptocurrency
and Regulation of Official Digital Currency’ bill will create a
facilitative framework for an official digital currency to be
issued by the Reserve Bank of India, and that will look to ban all
private cryptocurrencies, which includes Bitcoin and Ethereum.
Related Reading El Salvador Announces World’s First Bitcoin
City, Backed By $1B Bitcoin Bonds Let The Rain Fall Down… Prime
Minister Narendra Modi said earlier this month that “all democratic
nations must work together to ensure cryptocurrency does not end up
in wrong hands, which can spoil our youth.” It was his first public
comments spoken directly on the subject. The law, which will be
presented to the parliament in the next session, will allow
exceptions to promote the underlying blockchain technology,
according to the parliament bulletin. The statement was provided
without further details, leaving many with more questions than
answers. A pre-verification approach would create obstacles for
thousands of peer-to-peer currencies that thrive on being outside
the scope of regulatory scrutiny. Modi recently chaired a meeting
to discuss the future of cryptocurrencies, amid concerns that
unregulated crypto markets could become avenues for money
laundering and terror financing, according to reports in recently
weeks. The new rules are also likely to discourage marketing and
advertising of cryptocurrencies in order to dull their allure for
retail investors, according to an industry source who was
part of a separate parliamentary panel discussion held on Monday.
Bitcoin: Latest action from the top coin on the blockchain. |
BTC-USD on TradingView.com Status Check The government could be
looking to classify crypto as an asset class, as demanded by the
crypto exchanges, rather than as a currency. A senior government
official told Reuters that the plan is to ban private
crypto-assets, ultimately while paving the way for a new Central
Bank Digital Currency (CBDC). The Reserve Bank of India, which has
voiced “serious concerns” about private crypto, is set to launch
its CBDC by December. Bitcoin, the world’s biggest cryptocurrency,
is hovering around $60,000 (€53,000) and has more than doubled
since the start of this year; this coin has the highest rank and is
all over the world both for good and some bad. Many people have
speculated billions in holding of crypto located in India and that
has the government on high alert. Will this be the start of
countries ramping up regulation around crypto? Related Reading
El Salvador Announces World’s First Bitcoin City, Backed By
$1B Bitcoin Bonds
Ethereum (COIN:ETHUSD)
Historical Stock Chart
Von Mär 2024 bis Apr 2024
Ethereum (COIN:ETHUSD)
Historical Stock Chart
Von Apr 2023 bis Apr 2024