India is looking to ban most crypto assets when it introduces a new bill to regulate the industry next winter.
The agenda for the session lists “The Cryptocurrency and Regulation of Official Digital Currency Bill, 2021”. The bill also addresses the framework for the central bank's official digital currency to be issued by the Reserve Bank of India.
India is now following in China's footsteps in an effort to eradicate the use of decentralized cryptocurrencies in favor of its own state-controlled CBDC.
"The bill also aims to ban all private cryptocurrencies in India, however, it allows for some exceptions to promote the underlying cryptocurrency technology and its uses."
It is the second time that the cryptocurrency bill has been listed for introduction in parliament, but it was not presented earlier this year.
Community backlash
India has a population of around 1,4 billion people and most of them are not banks. As a result, cryptocurrencies have become very popular in the country in recent years, but the state clearly doesn't approve of them.
However, we must also remember that in the country it is possible to use safe and reliable platforms such as Bitcoin Pro, which for beginners is a real godsend.
According to Reuters, there are around 15-20 million cryptocurrency investors in India, with a total cryptocurrency holdings of around Rs 400 billion, or around $ 5,4 billion, so it's clearly a huge market.
As expected, there have been a lot of negative reactions to the switch from cryptocurrency users and politicians alike. MP Priyanka Chaturvedi called it a "recipe for disaster," adding that it is robbing India of creating an ecosystem for next-generation fintech.
The founder and CEO of India's leading cryptocurrency exchange WazirX, Nischal Shetty, looked on the bright side by saying that "there will be speculation on both sides", before adding "the good thing is that more people within the government are aware. of how encryption works ”.
Top criticism of cryptocurrencies
The office of the Prime Minister, Narendra Modi, tweeted this rather obscure crypto critique on November 18.
“Take cryptocurrency or Bitcoin for example. It is important that all democratic nations work together on this and ensure that it does not fall into the wrong hands, which can ruin our youth. "
Meanwhile, Reserve Bank of India Governor Shaktikanta Das continued to voice his concerns by stating that "when the central bank says we have serious concerns from a macroeconomic and financial stability perspective, there are much deeper issues involved," in a recent event.
