Bitcoin Forum

On April 20, a government panel is meeting to decide whether BitCoins are illegal.

www.moneycontrol.com/news/business/markets-business/exclusive-should-bitcoin-be-allowed-in-india-govt-panel-to-meet-apr-20-to-discuss-2249407.html

If they decide that BitCoins are illegal then centralized BitCoin exchanges will have to shut shop.

There are the few ideas how can these exchanges re-emerge:

1 . Convert from centralized exchange to a decentralized platform like Localbitcoin and Paxful.

2. Opening a page in dark web and offering the same service. Users can access it using Tor browser.

3. Collaborating to create a torrent like technology as a response to Napster closing down. We can use BitCointalk to design and collaborate to create a platform to achieve the same.

Remember, governments can only attack centralized systems. BitCoins are a transformative tool that can potentially eliminate poverty. We have to protect it from temporary ignorance of few regulators and politicians.

Doing this would still result in being a criminal, won't it?
If crypto currencies are banned, I would rather stay and fight via system than running a criminal activity from my room. :(

Can somebody list the names of the ministers who would be likely in the panel?

I agree.
This would have a very bad impact on Bitcoin and Blockchain.
It would be better to stay and fight while following the system.

Good question and I would like to hear these exchanges official stand on this.
Although I am hoping nothing such thing happen but we can not completely rule out the possibility.
We can move our coins to cold wallet or some offshore online wallet as a last resort.

Its definitely not criminal .. Its scare of a new technology ..
Mahatma Gandhi broke salt laws. Was that criminal ?


 :o

* If govt decides and passes a bill for that then sadly bitcoin in India may become illegal.
* When Mr. Gandhi broke the salt law, it was criminal act as per then Govt.

Many are trying their best to create awareness about bitcoin/cryptocurrency which would help in clearing all doubts. Political leaders like Mr. Somaya have shown paramount ignorance towards cryptocurrency by depicting bitcoin as ponzi. Unfortunately these kind of ignorant souls are in position to take decision about things which they don't understand.

Absolutely agree. There is no point in being involved into illegal activity in India, while bitcoin is legally operating in so many parts of the world, especially in nations like US, Japan, China and many parts of Europe. I believe, if bitcoin is declared illegal in India, we may still send INR to offshore exchanges, trade over there in BTC-USD pair and convert the booked profit from USD to INR to get it back in our Indian bank account. As long as we are operating within remittance limit, I dont think it would break any law of the land.

What do u think?

It won't effect Blockchain technology, banks and IT company working on Blockchain technology and govt don't have any problem with Blockchain. Govt have problem with Bitcoiin/Altcoin.

This is completely different, he broke law to protest against something that was unethical.
I see nothing unethical if the govt. bans crypto currencies.

PS: If I decide to become batman today and start hunting down criminals I would still be a criminal ;D

If you break a law it is criminal activity and what Gandhi did was civil disobedience and if found by the law that you are doing it you will face the consequence, apart from that Japan legalized bitcoin recently and hope the government in India will learn about bitcoin rather than taking a decision without any major thought. 

You don't see anything unethical in government trying to take away people's right to participate in biggest financisl innovation of hundred years ??

I think its criminal for government to ban this. To take away the jobs in BitCoin exchanges without any sound reason. Its abuse of power. And the BitCoin community will fight back if it happens.

This is interesting 'coz indeed govt. is taking away some right from general public however it cannot be denied that Bitcoin can prove as a curse to country who is trying to reduce its trade deficit. I would say the govt. is just too lazy to work in concord with Indian Bitcoin community, if it hits a ban hammer on it.
I will still stick to idea of adhering laws and poking to make a change.

The best way to tackle this would be renaming bitcoin into...


wait for it...



           COWCOIN


http://i.ebayimg.com/images/g/j2UAAOxyiRlSbFLj/s-l300.jpg

-

space reserved for future rants


-

Ha ha ha. You should name it 'gau' coin. Even if a BJP MP wants to ban it, the other Sangh organizations would come into support.
Having said that, I hope there is a healthy debate on Bitcoin before a decision is taken. We have to thank the MP for at least bringing up the topic of Bitcoin in Parliament, albeit in an unfavourable way.

Well i just saw a mobile message from BTCXINDIA , they mentioned NO MORE DEPOSIT FROM 6TH APRIL . Message was like this

" Customers are advised not to deposit BTC into your BTCXIndia wallet from 6th April 2017 onwards . Any deposits made after will not be updated / processed . "

--- So does this mean BTCXIndia stopping the BTC exchange from now due to Govt. movement about it ? what will happen to other exchanges ? :/

Woah! Anyone else got this?
P.S. They are probably suspending till further notice from the govt. or there's something they know and we don't!

Yes and I never use their service anyway. Despite being registered there. They are one of the most 'fishy' trading websites from India. And they scare easy.

Like Gandhi Said : "First they ignore you, then they laugh at you, then they fight you, then you win"

Guess we are at the fighting stage now.

i also never did trade there , just have registered account so got the message yesterday . I am always happy with CS and benson :)

They were not fishy when I traded with them and don't think they are now fishy they just take extra precaution for their safety.
One thing I want to share, they offered best service and know how to deal with customer. Never got service like them in any other exchange in India.

They seem to be a low budget exchange looking at their UI.
This somehow makes me paranoid about their security and uncomfortable to keep any thing of worth on their site.

If Bitfinex, a company that pumps millions in security isn't safe I sure ain't comfortable about any Indian exchanges. Never ever keep your worth on any BTC exchange ;(

What kinda service u got from them that u dint get at any other exchange in India?

Contrary to popular belief, UI does NOT have much to do with security of a web application. In fact, better UI based on poorly written JS may add vulnerability to an application.

Yea but a poor buggy UI does talk about their budget, so it indeed holds some truth to it.

When I traded with them they were just call away even around 10-11 PM and even manage to transfer funds @night too.
Other exchange just make excuses when problem happened. In India transferring fund not take much time and Indian exchange still not that big that it will take 24-48 hours for transfer funds.

Was Very happy with them and had no issue with them at all.

Indian government so far has not proclaimed bitcoins as illegal neither banned it, but I think this April 20 discussion is going to be tricky. Guess that is why almost all major Indian exchanges created a petition to be submitted to FM, https://www.change.org/p/finance-minister-mr-arun-jaitley-make-bitcoins-and-cryptocurrencies-legal

http://i66.tinypic.com/2ik2ykx.png

Source: https://dinardirham.com/blog/the-fantastic-flowering-field-of-fintech/

India have around 400 Fintech startups and many Indian banks have been testing Blockchain technology, in my opinion banning bitcoins in India is not going to affect Indian economy in any way, but yeah it would be the end of the road for Indian bitcoin enthusiasts. Like someone mentioned the government has issue with bitcoin not its technology.

Have not completely seen how this ban is possible, but this is India, so watching closely.
There are many micro questions that will be answered through this trial that we are looking at.

Most importantly, the showstopper is mining. Will a  ban on Bitcoin, effectively ban mining?
How is this possible? Can a person be told not to use a certain algorithm? Has this ever been done?
What is the financial impact to Indians if mining is banned and Bitcoin solves scalability and reaches critical mass globally?

Am seeing cases of concern where freelancers have been rejecting Bitcoin payments as they are getting worried, so what happens to that facet of life?
I am aware of many clients who refuse to pay in fiat. How do we balance these things out?

Will academic and development activities around Bitcoin and Blockchain be banned as well?

This looks like the stage being set for a wider debate.
Am sure there will be an outcome, but not gonna bet on 20th April for anything. There is just toooo much content to cover.

I feel sad for you indian folks, hope your government will understand how bitcoin can help your country. Hope someone will stand to enlighten them and removed the bad impression about Bitcoin. Understanding how the blockchain works is the key and stopping them from banning bitcoin.

Friends do not jump to false conclusions even before decision is made.There is a possibility that panel.
1.Leave it to RBI to decide.
2.Invite financial experts and IT experts advice before deciding on anything.
3.Ask general public for their views.
4.Set next date for further discussion.
And there is also a possibility that they recommend Government to make laws to regularise cryptocurruncy and bitcoin and if that happens. ..well bitcoin will touch the Moon

Ha ha ha for them cow dung is more precious than bitcoin :) I am going to hold cow dung now

Global bitcoin price does not depend on India. They ban it or not, Bitcoin will continue to grow globally. In worst case, we may have to sell in Japan, where Bitcoin is legal, and get that money to India through normal banking channel.

Yes Global bitcoin price does not depend on India because India is a small bitcoin market but if India government declare it legal,I think a huge market will be opened up and a lot of new people will adopt bitcoin.This can push up btc price

not really , if it bans in india lol there is plenty of ways to cash out actually . Most good option is Moneypolo visa card . Simply send btc to your MP account and then withdraw via your MP Visa card in Local ATM :D

Its not that simple as you think ,there is a seperate department for digital payment as new government focus on motive of "cashless india".if by chance,exchange are forced to close,you will not able to use bitcoin transaction to banks without proper records for your payment.

No possibility of the moon just because of Indian government's decision - either way.
The most probable outcome is the appointment of a committee which will give its decision in the next decade. :)

Who told you i need bank to cash out my bitcoin lol , please read what i wrote . You move your bitcoin to your MP Account and simply withdraw to your MP VISA CARD and then use that card on any ATM and you get cash to your hand . Of course all these will need some fees but who cares when you will have all other ways closed and the only way to enjoy your coins :)

Yes but it can be traced.Government will know how yoi loaded your Visa card and you could be in trouble.
The best option would be to sell btc to someone outside India and receive payment through PayPal or western union.

Guys don't sweat it, if at all govt. bans cryptos (which is unlikely to occur too quickly) we shall get time to wind up!

I don't think so .. cause MP Visa card provided by Offshore bank . Anyways best option is sell btc in LBC for cash .. but for god sake never ever for Gaypal lol .. You don't wanna get a sweet email for your longest running Gaypal account one day , " Sorry we cannot have you as our customer " - permanent ban .

I think, instead of selling on LBC for cash, it safer to sell on LBC for Bank transfer through NEFT/RTGS/IMPS.

And yes, stay away from PayPal, as the buyer can reverse your payment after a month.

If you don't want to be tracked by anyone then Cash is best option . And Gaypal can have chargeback after 8 years not only 1 month lol :)

http://www.paypalsucks.com/forums/showthread.php?fid=6&tid=31812

Lets hope government never ban it and if they do,we should be given some time to sell our btc.
I would like to see what Indian exchanges are doing in this regard.

Xd why they will give time ,it is not governed by them!
I think government are now looking in virtual currency because of demonatisation.maybe they are seeking holder who hide black money in digital cash.

you can always move to wallet and wait until many other country legalize.

I am reading the whole thread on 5th may 2017 no body said anything about government stand after april 20 discussion in this forum   . Whats the future for bitcoin in india . there is no clarity on that

:o You are from the future????

Assuming you are not from future and you wrote this on 5th of May 2017 here's whats happening:

Cause we are sheep and there's no one to tell us, there were some news here and there that it's now not in pro of banning bitcoins in India and trying to regulate the exchanges. However no official statement has been made by the govt. yet.

So sit tight and watch.

Sorry Its supposed to be 5th its my mistake and yes there was lots of rumours around that issue . Even i don't have any clarity on that again i am editing my post if anybody having information please let us know

The inter-ministry committee would give their verdict between the 15th and 20th of this month. The possibility of bitcoin getting a legal status is high, but it would most probably come at a heavy price in the form of taxes. Strict RBI guidelines, FEMA act, strict KYC regulations, in short RBI would eventually take away the decentralization factor from BTC.

https://www.change.org/p/finance-minister-mr-arun-jaitley-make-bitcoins-and-cryptocurrencies-legal/u/20059439

Let's wait till 15May. Mostly Govt would ask for their cut and let the game continue.

Hahaha I am having a bad day at trying to get someone into a fight xD good spirit you got there!


Strict guidelines to be followed, will be done by exchanges. So I guess as customers we don't have much to worry about. BTC cannot be centralized, it would need great deal of attention, investment and planning which our officials evidently lack. China has tried it in the past but they were slammed head first.


Govt. is already getting their cut in form of VAT and will collect in form of GST and I believe a bill won't be drafted and passed just for collecting taxes on Bitcoin. They will just pull cryptos under their existing structure.

Government is already taking their cut, as you call it from exchanges and exchanges are taking fees from us but the thing is govt will double it or worse, kyc will be more sophisticated or you may say tedious as they are running their aadhar to pan link process right now. All in all some good news for us and some bad for companies who run exchanges.

The decentralization and privacy factors are still not there as all the exchanges running in India run with strict KYC regulations and what i am expecting is additional taxes being levied on bitcoin users but i am not confident with the ruling party as they could come up with weird regulations and restrictions as they take more care about cows life than human life .  :P