Banning Cryptocurrency in India: An Unwanted Decision

India has remained among the country with an overwhelming number of people loving Cryptocurrency based trade. Even though the Indians were not keen to trade in Bitcoin with their low capacity, other digital coins have remained their favourites. The central bank of India – the RBI, is now clear that they want to ban all digital currencies.s However, the government is now planning to develop an exception for promoting the technology called Blockchain. Amid all this, we see some competitive objectives as the Indian PM and his team are now planning to chalk out their legislation during their last house of joint session this year. However, experts feel that the idea of banning the entire digital currency is not a sound decision as it can have its impact. It would be interesting to check how things are moving in India. Meanwhile, you can even explore on the sites like bitcoin era app.

Understanding How Huge is Digital Currency in India?

When it comes to India, it remains the most expanding and fast-growing region. As per the recent reports, we see a growth of around 640 per cent in just one year (July 20 to June 21). All in all, we see an excellent southern and central Asian nation coming up with the digital currency market with an added amount of money. As of now, it has been valued at around 570 USD, and one can see a good growth of around 14 per cent when we see it as a global transaction value. Several transactions take place, ranging from 10 Million USD reaching 42 per cent of the transactions as based during the period. The same thing in countries like Pak and Vietnam goes to around 28 and 29 per cent respectively. It has added a mature kind of Indian market when we compare with these two nations. Also, India remains relatively new in terms of technology-savvy people when compared to nations like Vietnam.

The rules of as of Now

India as a nation has remained both a hot and cold kind of relationship when it comes to digital currencies. It comes with the current value of the grey area. In 2018, we saw India emerging as one of the most places with banned digital transactions; however, if you look at the Supreme Court, the restrictions have gone up to March 2020. There are calls for coming stringent rules as far as the growth is concerned, and one can find some unregulated environment that can draw in a domestic kind of household savings since it proves out to be a volatile asset. It adds to an average of some feeble figure to crash. The earlier news about the country drafting a bill against digital coins made the Indian investors feel unnerved.

The Country’s Concerns

The central bank in India – the RBI- claims that they feel too much threat with digital currency. They feel that the macroeconomic condition of the nation is known to give some financial stability. The Indian rupee, on the other hand, is partially convertible, further allowing the regulator to get insight when it comes to controlling the area and accessing the country’s market. Digital currency, on the other side, can remain as an essential nature that is designed to move with free trade. Also, the issue of anonymity and losing control over digital money can prove lethal to everyone. One can find issues like money laundering problems that are raised on this problem.

What comes in the Bill?

It is still not clear what they will bring in the Bill. A small message appearing on their website claims that it intends to ban all the private digital currencies in the country in a big way. It helps many come up with certain exceptions as far as promoting the underlying technology of digital currency. As per the media reports, the government intends to treat digital currencies as financial assets. It should appear like a small amount for investment in the digital currency world. The FM of the nation has kept her message loud and clear as she said that the government is not planning to calibrate their position on digital coins.

Wrapping up

Since India still functions more in cash and traditional money, there is less chance to see it bowing down before digital currencies. However, things should change or else the ban would remain an unwanted decision to make.