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| India Proposes Banning All Cryptocurrencies |
According to the legislative agenda of the Winter Conference, India plans to introduce, evaluate and implement a bill to ban all cryptocurrencies in the country.
The Indian government has stated that the proposed law allows some exemptions for the promotion of core cryptocurrency technology and its applications.
The legislative program added that the bill, titled Cryptocurrency and Official Digital Currency Currency 2021, also established a workable framework for creating the country's official digital currency.
It should be noted that the description of the bill is the same as in the last parliamentary session in New Delhi earlier this year.
For several quarters, Indian lawmakers have discussed the risks of trading cryptocurrencies and experimenting with digital currencies backed by the central government.
In the past few quarters, more and more Indians have started trading cryptocurrency. Many of them did not invest in the stock market or any other asset class. This raises fears that they will lose money.
Local cryptocurrency exchanges reported that this year’s trading volume and user base has grown, and capital growth from well-known investors has also set a record.
CoinDCX, CoinSwitch Kuber, and Coinbase Ventures became unicorns this year.
Indian Prime Minister Narendra Modi, several other lawmakers and many players in the industry have been meeting over the past few quarters to discuss the cryptocurrency space and some recent developments.
Recently an Indian minister had a meeting with a famous venture capitalist. He noted that after China's decision to ban cryptocurrency trading and mining, India could draft a law that supports innovation.
Cryptocurrency confusion continues in India
At the same time, some lawmakers have also raised concerns about the type of ads being put out by cryptocurrency exchanges.
It was agreed that this irresponsible propaganda misleads the country's youth and must be stopped. These ads promised huge profits to consumers by investing in cryptocurrencies.
Many Bollywood stars, including Amitabh, advertise their cryptocurrency transactions in TV ads and newspapers.
Lawmakers have also raised concerns that crypto-trading tools could be misused for money laundering and terrorist financing.
Shaktikanta Das, the governor of India’s central bank, said the country needs more in-depth discussions on cryptocurrency issues.
Adding, “When the central bank says we have serious concerns about macroeconomics and financial stability, there are deeper problems. I continue to see serious and meaningful discussions on these issues in public.