The ‘draft bill’ in India for banning digital assets that circulated through social media stunned the entire crypto community as the regulatory bodies are yet to clarify its stance on the matter. Under the proposed Banning Cryptocurrencies and Regulation of Official Digital Currency Bill 2019, mining, trading or owning cryptocurrency in India which calls for penalties of up to 10 years in jail.
The Indian cryptocurrency ecosystem is on the fence due to lack of transparency in the regulatory climate. According to a report by ET, government departments in the country were aware and very much in support of the circulated draft.
Nischal Shetty, the CEO of WazirX, a Mumbai-based cryptocurrency exchange, in a recent tweet, insisted that regulations in the cryptocurrency sector is important and not a blanket ban which would only stimulate money laundering. Shetty’s tweet comes at a time when cryptocurrency exchanges were geo-blocking/geo-fencing certain regions to comply with the native regulations, His tweet read,
BAN Crypto to PROMOTE Money Laundering
REGULATE Crypto to PREVENT Money Laundering
Any subject matter expert will agree
Regulation > Ban
Ban is the opposite of what India wants to achieve. Hence US & EU aren’t banning it#IndiaWantsCrypto
— Nischal (WazirX) ⚡️ (@NischalShetty) June 15, 2019
The CEO also hoped that the much-hyped Facebook cryptocurrency which, according to him, is a “game changer”, will foster mass adoption by firms globally and India would not want to be left behind. The narrative of “blockchain and not cryptocurrency” in the country is flawed, Shetty in another tweet said.
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