Bitcoin Forum

My attention is drawn to this move by the authorities in India and I can't help wondering, why such desperation to ban something that's being celebrated by its citizens and even authorities in other climes? Is this not a clear manifestation of governments caring less about what the people truly want?

I was looking at cryptocurrency as a leveler for the developing countries, but it's disappointing most of them can't even see beyond their nose and instead are busy trying to reinvent the wheels.

https://www.ccn.com/indias-central-bank-banned-cryptocurrency-with-zero-research-or-consultation/

They have their own group consultation inside the organization itself like they meet and have met have all discus regarding cryptocurrency, what are the impact of this one, what will happen in the future, they have consulted their group but they never consulted their costumer and cryptocurrency expert outside the business circle.

Actually, no. If you read the original story at all you'd have seen that RBI admitted that it did NOT do any research at all prior to the ban, despite asserting previously that it would set up a body dedicated to such information gathering.

This has been the one legal beauty of India's Freedom to Information Act. You ask and the government is required to provide answers.

What was surprising is how vulnerable they left themselves with that admission. The U turn has to be likely now, and they mustbe aware of the damage already done (businesses moving out of the country for example).

It seems to me that everything is very simple. All developing countries are heavily dependent on credit. All loans are issued in dollars. It seems to me that the Americans are blocking attempts to legalize the use of cryptocurrencies and blackmail them to deprive loans. I think it is, but we'll never know.

It's possible they don't have the resources for research and have deemed that it would be more beneficial to simply not deal with it. This way, they minimize the potential harm (in their minds at least), and keep collateral damage to a minimum because not many people use crypto anyway. It's an incredibly irresponsible move for sure because governments at least have to do their due diligence.

I'm guessing most other countries that have banned it haven't done much research either. They likely got caught up in the ponzi and bubble talk. It's sad, but I believe they'll come around once crypto's utility fully establishes itself.

There would really be a possible re-consideration or change of decision into the future and i agree on what you had said which for most countries who banned crypto didnt research thoroughly on it and just being cuaght up with the hype and negative news on it thats why they do made such decision without even thinking on whats on the possible benefits of it into their vicinity.

We cannot blame the whole government of India as we can only blame people who are given a high position in their Government without them knowing what they will properly do with cryptocurrencies. In this instance we see that their Central Bank is the root cause of the Government of India's lack of support with the cryptocurrencies. Seeing their Central Bank ordering banks and financial institutions to prohibit any accounts related to cryptocurrencies is an example of a dumb order given by their central bank, a dumb order because their reason is that cryptocurrencies are related to criminal activities. This is an example of a wrong man given a authoritative power. He/She only thinks that what is running on his mind is also what is good for their country which is the wrong move for any man with a authoritative power.

I would expect nothing less from a country willing to ruin its own population by screwing with their cash, let alone their long standing restrictions on gold. India may one day be a super power, but it's run like a shithole and it may add decades to its ascendence purely because of mediocre government.

Well that's a stupid move from RBI, imagine a Central Banks making a decision that will affect a lot of its constituent without any proper research and consultation. But the problem I think is that the government is really afraid of the negative sides or the effect of crypto that's why they decided a out right ban on it. Specially the idea that bitcoin is being used by criminals. They know that its going to be hard for them to control and check once crypto gets out of hand. But I'm sure that the government bans doesn't have the support of the majority that's why it has been tested and challenge in the court.

I think the Indian government are up to something and they didn't find any good at legalizing bitcoin in their country. Fraud may be the main reason to it since it is reportedly all over the place since some of them found what is bitcoin.

With that much desperation, I find it hard to believe that the move was all about preventing crimes, rather I see it as some calculated moves to  bury Bitcoin and all its enviable potentials, so that their manipulative local currencies could stand a chance

Nevertheless, I am impressed by the Freedom of Information Act in India as it can be the people's voice after all.

The same question interested me. I guess I have to thank you for opening this thread.

It's not even the government's handiwork. It was their central bank's. I'd say that means there's a very slim chance it has anything at all to do with crimes (not involving money laundering, etc.) or their prevention, because that's not their directive anyway.

I'm sure some banks see Bitcoin as a threat, but I'm also convinced this case has more to do with ignorance than that fear. They've admitted that much. They've been hearing that it's bad, so they'd rather not deal with it.

More importantly,I wonder why people don't appeal bans against cryptocurrencies with zero research and consultation? they have legal right to appeal something which humiliates their constitutional rights,especially when its about property right.Population have right to do everything to achieve their financial goals,everything which is not immoral and risky for public safety,So very interesting thing why do central banks make actions like this? what are the legal grounds?

Maybe that's because BTC was becoming worth more than the rupee, which got them scared? It's a reaction comparable to what a three star hotel owner feels when a 5 star opens nearby. It's not going to take away his clients, because it's aiming at a different, wealthier customer, but the fear remains and is illogical.
The Chinese are slowly starting to break and it looks like the ban won't hold for long in there. In time India will change too.

Central banks are agents and mouth piece of the government, they're simply one and same.


Commercial bank are in business to make profits and I have no doubt they understand what's in Bitcoin for them, but their masters = the governments won't let them be or the pursuit of revoking their license takes center stage.

 Banning Cryptocurrencies with Zero Research or Consultation might be as a result of personal interest of protecting a business( product or service) that is in the same line of business as existing  cryptocurrencies which are proving to be popular, and having to let crypto coexist means losing money.

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Some of these decisions might be as a result of being a member country of some regulation board and this could be the requirement to be followed by all 

The U.S. government learnt a big lesson the last time they tried to protect American auto manufacturers from their Japanese counterparts. Now they no longer preach protectionism but competition instead, because that's the tonic that brings out the best and today very bulky cars are fast disappearing from car stands in the U.S.

The reason why most Government bans Cryptocurrency is because they see it as non-profitable. The transaction of bitcoin is not within the scope of their power to be taxed. In this way they if it cant be taxed they ban it, but if it can be regularize or be taxed they would welcome on legalizing it.

Its really impossible to ban cryptocurrency without any consultation to the expert. Maybe big businesses in India see a huge threat on cryptocurrency and this is why they tell their government to make action on this, it can really be a personal interest and if this news is true people in India must not panic and hold on your coins.

The fact that they’re puppets by big organisations and group who runs the financial system of that country,, superior inferiority.. The investors behind banks or stock market might have celebrating this RBI move.. This is a sad truth that cryptocurrency users in the world is facing.. The ordinary people is forced not to invest anything other than the one RBI officials are promoting..

Corruption is not just within the government because it is partly inside our banks..

That may be true in some cases, but India is not a dictatorship, and I prefer we give them the benefit of the doubt. Different branches are meant to function independently, which is how their own Supreme Court is questioning the central bank's move in the first place. If they were all working in unison to push out crypto, it would be far simpler for them to simply tune out the noise.


Well their central bank did explicitly state that they did not conduct any research, so it's entirely possible they don't understand at all lol.

Not only that, but there should be some checks and balances of power. Even while it’s the job of the central bank to make decisions of this matter and nature, it should also be the government’s discretion. Matters like this should not be decided without proper research whether it be crypto related or not. They must have wanted to be in the “safe” side and did not want to deal with cryptos at all so resorted to simply dismissing it.

As far as I am concerned, India is known for its overpopulation. Imagine if 1% of India's population give up relying on banks. The economy will collapse, thus the country will follow its fate. So why take this big threat and accept bitcoin? Let's ban it completely so people will forget about that idea and rely on us, the government, the powerful one. I really feel sorry for those unemployed people who had a chance with bitcoin...

As we know India is highly populated country. If some part of population will give up banking and started take part in bitcoins then there will be a great loss for bank. so that the country will fillow its fate. Thats why the government is not accepting bitcoin there.

As we talk about India. India is very overpopulated country. The banks there are afraid of losing their consumers. The govt is earning a lot of money from the banks there so thats why they do not making bitcoins legal there because if they do it legal then the peoples starting investing in bitcoin and if some part of population will withdraw their money from the banks and invest in bitcoin then it would give a lot of effect on banks and government is earning from banks thats y they are not making bitvoin legal in their country.

In some countries banks are paying a lots of funds to government thats why their government would not make bitcoin legal there because if they make it legal then the peoples there would withdraw their money from the bank and invest in crypto. The banks would bear a very huge loss thats why they are not making bitcoin legal.

You don't think that by this action of the central bank, they've succeeded in making Indian forget about Bitcoin, do you? If that's really your take, then you just don't realize what role decentralization plays.

It's unfortunate that while the western countries are have let their guards down and now exploring the benefits inherent to this technology like:
https://www.ccn.com/mastercard-wins-patent-for-blockchain-based-coupon-authentication-system/
http://www.thefuturesociety.org/blockchain-enterprise-companies-using-blockchain-today/

the developing countries are seen queued up in standing in the way of innovations as ever:
http://bitcoinist.com/11-countries-bitcoin-still-illegal/

Government just do not want to lose control of its people that's why they just choose to ban it because they already know that when they just let people continue being engaged in cryptocurrency and realized the advantage of it over banks then their plans would be postponed and even their projects too. People can just hope that their government would be more open to cryptocurrency because it is a big help especially to the people who are relying from it to make their lives more better.

The only reason why government will do things for its citizen is when both what the government and the citizens want aligns. If there is a conflict, government interest will surely supersede and that is exactly what is going on there. But from the way I see it, its more of a rash decision than a rational one and also exhibit the laziness on the part of government as that is the reason why they choose the easy way out rather than having to engage in discussions, dialogue, deployment of infrastructures and also the massive education of the citizens. But its a shortsightedness though because the benefit would eventually outweigh the cost in the long run.

Personal Interest. The decision of the few powerful individuals prevails over the millions of poor people. It happens most of the time and only a revolution can reverse it or if an international interfere and it help them.

I guess its too late because India's Supreme court just uphold RBI's ban:

(https://cointelegraph.com/news/indian-supreme-court-continues-to-uphold-central-bank-s-ban-on-crypto-dealings)

So another black eye for our India's bitcoin community. Really hard to tell what's going to be the future of crypto in that country. Crypto being slowly accepted by other countries chose other wise. We can only hope that India's government made the right decision eventhough we know that it doesn't align with what the people wanted. So I think government doesn't really care as long as they have vaild? reasons to enact laws against bitcoin, the will of the masses will be overturn.

Yeah, I mentioned elsewhere that this was a really weird move, and uncharacteristic of the Supreme Court, as they've generally been very objective when it comes to state vs the people... perhaps it takes a less kind stance towards private entities (even though the petition was essentially signed by thousands of Indian individuals).

There was no basis for the ban, only an excuse. RBI's admission that there was no research or consultation, despite promises of that earlier, should have set the matter straight. Open and shut case for me, but there you go.

My speculation is that there's something brewing in terms of legislation, and the govt wants to install that quickly. A ban might make things easier in the long run, fewer victims at least as part of preemptive de-risking.

Yes it has always been their personal interest all along and that explains their haste in seeing to it that anything outside of their interests does not see the light of the day. Apparently most governments across the globe are self serving and since Bitcoin portends to speak against that, it should surprise no one that it is being painted black and called names.

It is how exciting to see that not all developing countries are wiling to bury their head in the sand like Ostrich as usually have been the case. This is how it's unfolding in the Philippines:
https://www.ccn.com/philippine-central-bank-approves-two-new-cryptocurrency-exchanges/

and back to India, here's how water must always find its path:
https://www.ccn.com/local-crypto-exchanges-are-circumventing-indias-new-bitcoin-ban-heres-how/

Well it such a shame to see a country banning without any research, crypto could be very useful in third world country to pressed down poverty level, the government need to see a wider range to see the potential of crypto, and with banning the country can missed the technology and slow down the country growth