Opinion: The ban on encryption proposed by the IMC report is based on inaccurate assumptions.

On July 24th, NischalShetty, founder of WazirX, an Indian cryptocurrency exchange, said that the Indian government’s recent request for a comprehensive ban on Bitcoin and encryption of the IMC (Inter-Ministerial Committee) was based on inaccurate assumptions. First, IMC defines cryptocurrency as “private currency”, which means placing the entire asset class in direct conflict with the Indian rupee. Therefore, Indian legislators called for the implementation of a ban on encryption to maintain the monopoly of the rupee. Other jurisdictions such as the United States believe that it is appropriate to classify cryptocurrencies as commodities, making them an investment asset. Shetty suggested that the government set up a standing committee on encryption, which was also proposed in the IMC report. He also warned that insisting on the implementation of the encryption ban would have devastating consequences for the country.