TL;DR Breakdown
- The Indian government is looking for options when it comes to the crypto ban.
- There are talks regarding crypto regulation with prominent regulators over the issue.
- The result of these talks might result in a blanket prohibition of crypto in the country.
Crypto ban has been a major issue in several countries because of many reasons. Many countries including India are looking to curb the growth of the crypto industry which is already a trillion-dollar industry. It won’t be easy to straightforward impost a ban on cryptocurrencies and therefore, it is important that the appropriate authorities find a solution to the issue.
There are reports from various sources stating that the Indian authorities are in talks with prominent industry stakeholders along with prominent monetary regulators. This means that there is a huge chance for major changes in the world of crypto. It is a common notion of all major stakeholders that crypto regulation is indeed important. Back in the month of February, it was cited by certain sources that crypto might get banned in the crypto which as of now, hasn’t been implemented.
Is crypto ban in India possible?
Recently, it was seen that the banks in India were notifying people that they shouldn’t invest in the crypto market and that it is not suited for their needs. This step from the banks was criticized by the government as no ban has been imposed on the growth of crypto. This meant that people are free to buy and sell crypto in India as of now.
Since the demand for crypto in the country is huge, it is possible that the government is modifying its approach towards cryptocurrencies and that there is a huge chance that a new set of rules will be imposed on the crypto industry. There are 3 matters currently in discussion with major stakeholders. The first is two issues revolve around the fact if crypto should be legalized or if the government should go with the crypto ban.
The third matter under discussion is the introduction of a set of protocols that would guide the number of activities that could be done using crypto. Indeed, this is a bit of a stretch that the government is in, and hence, arriving at a decision is taking time. There are also major crypto exchanges that are trying to expand their network in India, i.e., Bitfinex, KuCoin, and Kraken.
It is possible that soon a new set of rules will be ruled out for crypto exchanges as well. Back in February, the Supreme Court declined RBI’s steps towards a crypto ban. Therefore, we will have to wait and see what decisions the government and the Supreme Court take regarding the crypto ban in India.
