The rumor that the Indian government plans to ban cryptocurrencies in its entirety is finally confirmed to be true. The official report and the draft bill of the committee responsible for the development of the cryptographic use framework were issued on July 22 , the day before the Supreme Court hearing the encryption case.
The draft proposes to completely ban any type of cryptocurrency, even if the committee recommends the use of blockchains and DLTs . The Indian encryption community did not fully accept the draft because most stakeholders have been trying to convey the importance of cryptocurrencies .
Interestingly, the recommendations in the draft can be traced back to February 28th of the beginning of the year, and since then there have been many changes in the cryptocurrency sector, especially the G20 summit, in which the FATF provides regulatory guidelines to help countries develop regulatory frameworks (India). Also involved in it).
Many cryptographic service providers and most people in the Indian encryption community have expressed their concerns about the overall ban and its disadvantages. India will miss another major innovation transformation as they missed the Internet boom of the late 1990s. However, India was not today's global economic power, but now it is one of the highest and fastest growing economies under the age of 25 .
Sidharth Sogani is the CEO of CREBACO Global Inc. , founded in April 2018 , is a data analytics company focused on cryptocurrency and blockchain . Their latest report said that due to the proposed ban, India will lose about 84,000 rupees (worth about $ 12.9 billion). Sogani said that Indian cryptocurrency exchanges (such as ZebPay , UNocoin and several other companies) had a transaction volume of Rs 4 trillion last year.
CREBACO also analyzed several offshore cryptocurrency services companies that have decided to operate outside of India because the RBI imposed a banking ban last year. These Indian founders' companies can be traced back to several cryptocurrency centers around the world, such as Malta, Singapore and the United States, which generated billions of dollars in revenue last year.
Sogani also cited data from Indian intellectual property data from January 2018 to December 2018. Indian users' data on currency security transactions reached an astonishing 7.9 %, indicating that Indian cryptocurrency users are quite impressive.
Sogani is also a member of the Indian cryptocurrency , and he explained the different scenarios of cryptocurrency use in front of the Indian Commission. But he is still very surprised by the final results of the report, which requires a total ban on the use of cryptocurrencies.
The data suggests that the ban is more harmful to innovation and the sectors that may thrive, and its projected losses may be greater, and the government should not ignore a relatively new industry. In addition, the Indian Parliament is still weighing the impact of the draft on various sectors, and the relevant bills will be presented during the winter conference.
The article is from the original AMBCRYPTO , compiled by Bluemountain Labs , with abridged.