The Indian government plans to make a law that prohibits trading cryptocurrencies or cryptocurrency made privately. The plan comes alongside plans for an official cryptocurrency from the central bank or the Reserve Bank of India (RBI).
Reported by the Asia Times, Monday (1/2/2021), the Indian government has included the plan to form the law on the prohibition of bitcoin cs in the legislative agenda list. The law will also contain a framework that facilitates the creation of the country’s official cryptocurrency.
Later, the agenda for the formation of the law will be discussed with the parliament. In the agenda of the meeting with the parliament. The point of discussion was the prohibition of all private cryptocurrencies in India. With the possibility of certain exceptions to promote the technology underlying cryptocurrency and its use.
Since 2018, the government and the RBI have been working to ban bitcoin cs. In April 2018, the RBI ordered financial institutions to cut all ties with individuals or businesses dealing with virtual currencies such as bitcoin within three months.
Then, in mid-2019, an Indian government panel recommended banning all private cryptocurrencies. In fact, the government recommends jail terms of up to 10 years and heavy fines for anyone dealing with private cryptocurrencies.
However, in March 2020, India’s Supreme Court allowed banks to handle cryptocurrency transactions from exchanges and traders. The ruling overturned the central bank’s ban, which for more than 1 year hampered the industry from developing.
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