Government of India to Ban Cryptocurrency – Is it Materialistic or Imaginary?

Yet another day with the new buzz in the crypto space in India. Today morning I came across an interesting regulatory update on banning cryptocurrency in India. Let’s check out the sizzling story that just becomes the talk of the town among the crypto fans in India.

Will the Cryptocurrency file finally move ahead in Parliament?

As per the recent note published in the Economic Times, India is again thinking to rework on its pending Bill which advocates a complete ban on cryptocurrencies. As per the article, ‘A Note has been moved for inter-ministerial consultations’. However, the mention of ‘finance ministry’ behind the circulation of the note was hidden behind the mist.

Cryptocurrency seems to be Injected forcefully into the system! 

Cryptocurrency after the primary ban had no progress or involvement in the development of regulations by the government bodies. 

And, this note of today can possibly be the same stimulus behind the recent move within the government. 

Let me take you a little back: The government of India had constituted a panel which was headed by Subash Chandra Garg to research the cryptocurrencies and suggest the possible treatment for them. 

The panel recorded their research and advised the government to ban the cryptocurrencies by presenting them with ‘Banning of Cryptocurrency and Regulation of Official Digital Currency Bill 2019’.

This bill was expected to be presented in the parliament session after the General Elections 2019, but the parliament’s agenda had no mention of discussion on this bill. And from then the Bill has not been set in the foot of parliament.

Also Read: Cryptocurrency Regulations in India

The Panic in the City

While this source of this update is still near an authentication, a panic has already circulated assuming the note being the previously drafted bill. 

The crypto followers began to presume that the government is again thinking of banning the cryptocurrencies without knowing the actual contents of the note that has been circulated for the inter-ministerial consultations.

Many enthusiasts caught up with the smelting rat behind the sudden approach of the government by telling that it might be other than the bill too. 

As we saw in the recent past, the RBI had replied to an RTI that the banks have no restrictions in providing service to the crypto exchanges. And hence to assume that the note might be the drafted bill will be slightly like half-baked cake!!!

In My Opinion!

No doubt still in India, cryptocurrency is still vague but not so unclear that we could believe that the government might ban it. The Note has not provided any source or reference or any official announcement, hence not completely reliable. There might be possibilities of some major developments coming on the way but whether it will be banned or any other new set of rules, Crypto enthusiasts need some patience and discipline in the phase.