Last week, all popular TV channels in India started discussing crypto in light of Crypto Regulation Bill 2021. Is there a looming crypto ban in India? Crypto investors and government officials think otherwise.
The crypto ecosystem in India has grown quietly and rapidly in the past few years. Indian investors have a great share in the crypto market. Moreover, the government of India also believes in blockchain and its potential. Therefore, a Central Bank-backed Digital Currency (CBDC) is in the talks.
The contents of the bill were not made public prior to the discussion. This gave rise to the speculation of a total ban on bitcoin and other cryptocurrencies in India just like China. Bitcoin saw a sharp decline in its INR pair value following the sell-off by Indian Trader.
Regulation, not a Ban:
Now that the Cat is out of the bag, we see that the Indian Government only intends to regulate cryptocurrency. The use of crypto as a payment option is what concerns regulators the most. The talks and discussions are ongoing for ceasing the bitcoin payment transactions.
India has a history of banning cryptocurrencies just like China. Last year the supreme court of India overturned a ban on Crypto.
The growth of the crypto sector is unstoppable in India. There are individual investors as well as crypto exchanges operating in India that may suffer if the government brings too harsh laws against digital currencies. India exchange spent a massive budget on crypto advertisements during the ICC T-20 Worldcup.
At the start of 2021, Indian investors ran a campaign on #IndiaWantsBitcoin on Social Media. A Crypto ban in India is just a real-life clickbait statement. Government plans to bring crypto assets under the aegis of the Security and Exchange Commission of India.