[2017-04-30]India’s Government May Be Preparing to Legalize and Regulate Bitcoin

[xijieboy-8]

India’s Government May Be Preparing to Legalize and Regulate Bitcoin This Summer
Over the past few years, India and bitcoin has had a positive relationship as the decentralized currency has grown in popularity within the country. Now a few regional news outlets are reporting that India’s government may be preparing to legalize and regulate bitcoin as a form of payment this summer.
A Verdict Deciding the Future Legality of Bitcoin in India

India's Government May Be Preparing to Legalize and Regulate BitcoinAccording to local news reports and India’s CNBC broadcast, Indian government officials are in the process of possibly giving bitcoin legal status. Just recently India’s parliamentary inter-ministerial committee held its first meeting to discuss bitcoin and virtual currency use in the country. Authorities have noticed the vast volumes of bitcoin being traded by Indian citizens lately. The Indian publication Money Control reported that a member of the committee stated bitcoin legality would soon be decided by the country’s officials.

“There will be more discussions; a verdict will be declared soon on the legality of the cryptocurrency in India,” the committee spokesperson said. However, the source also told the publication if leaders decide to ban bitcoin then trading platforms operating in the region will be forced to close operations.

India’s Parliamentary Committee Will Reveal Its Findings This May

During the parliamentary session, sources say quite a few officials had a positive outlook towards bitcoin while some disliked the cryptocurrency entirely. However, the beneficial attributes of bitcoin seemed to have swayed some members of the committee and lawmakers enough for them to consider amending the Reserve Bank of India (RBI) Act. Furthermore, the committee also discussed the possibility of taxation methods towards virtual currencies.

The inter-ministerial committee plans to reveal its research development during the end of May which could propose virtual currency legislation in the near future.

Reserve Bank of India and Ministry of Finance is ‘Watching and Learning About the Development of Bitcoin’

Bitcoin's Legal Status Could Change in India This YearThe news follows this past February’s RBI statements towards bitcoin in a negative light. The central bank did not update the country’s Payment and Settlement Systems Act to include cryptocurrencies this year. However other local reports in the region state the RBI is watching the decentralized currency closely and gathering insight on its behavior.

“As of now we are watching and learning about the developments of Bitcoin but are not regulating it,” a RBI spokeswoman explained.

Alongside the parliamentary sessions, the Indian Ministry of Finance revealed on April 12 the creation of a government think tank dedicated to researching virtual currencies. The newly created committee plans to publish a report on cryptocurrencies in three months. Bitcoin businesses such as exchanges are doing quite well in the region, and Localbitcoins volumes continue to soar in India.

Many bitcoin proponents hope Indian officials will recognize bitcoin in the same way Japan did on April 1. On the other hand, some of the country’s top officials like the Indian Parliament Member Kirit Somaiya may not agree with legislation that favors bitcoin legalization. Somaiya is one Indian official that has been very outspoken against Japan’s bitcoin legalization and he believes the cryptocurrency is a Ponzi. 
link:https://news.bitcoin.com/indias-government-may-be-preparing-to-legalize-and-regulate-bitcoin/

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[Kemarit]

What happened to the anti-bitcoin politician (forgot his name), seems he is very vocal about his stance against bitcoin and went as far as saying is bitcoin is used for Ponzi scheme?

Maybe India's U-turn is another good news for bitcoin users their specially the general public. We all know that their is demonetization in India right now and I don't know when the government will end it, so adopting bitcoin will be a good alternative as a store of value for our Indian enthusiast.
It's truly amazing how bitcoin is changing the financial landscape of a lot of nation globally. And maybe this is another step for bitcoin to be truly recognizes around the world.

[Carlton Banks]

They may as well say they are planning to legalize people scratching their nose

Fuck off governments, we don't need you or your smiley official bullying

[Nagadota]

What happened to the anti-bitcoin politician (forgot his name), seems he is very wvocal about his stance against bitcoin and went as far as saying is bitcoin is used for Ponzi scheme?

He didn't just say it was used for Ponzi schemes, he said it was a Ponzi scheme.  It is used for Ponzi schemes all the time, so it's a big difference.

India is the biggest democracy on Earth.  One politician who wasn't that significant and goes on about it all the time isn't going to convince their Parliament (his name was Kirit Somaiya, I think he's just a Member of Parliament).  The closest India got to banning Bitcoin was the statement by the Finance Minister which was:

The absence of counter parties in usage of virtual currencies including Bitcoins, for illicit and illegal activities in anonymous/pseudonymous systems could subject the users to unintentional breaches of anti-money laundering and combating the financing of terrorism laws.

So really, significant politicians aren't quite against it, just cautious.  I understand their concern to some extent - after all, they are trying to run a coherent society with taxes and laws.  It doesn't mean that they have to try and regulate every Bitcoin transaction - it just means that they can regulate exchanges and prevent Bitcoin from getting in the wrong hands, although that does contradict Bitcoin's commitment to online freedom to some extent.

[renfangfua]

This is digital India, so our indian government should welcome this type of cryptocurrencies!!! The safest and advanced payment processor than credit/debit cards usages.. Love you bitcoin…

[1Referee]

What happened to the anti-bitcoin politician (forgot his name), seems he is very vocal about his stance against bitcoin and went as far as saying is bitcoin is used for Ponzi scheme?

Maybe India's U-turn is another good news for bitcoin users their specially the general public. We all know that their is demonetization in India right now and I don't know when the government will end it, so adopting bitcoin will be a good alternative as a store of value for our Indian enthusiast.
It's truly amazing how bitcoin is changing the financial landscape of a lot of nation globally. And maybe this is another step for bitcoin to be truly recognizes around the world.

I wouldn't take this too seriously. In a mild form, this is basically going to be the same as what has been happening in Russia. One day Bitcoin is great and everything, where in the next month or two they plan to heavily restrict Bitcoin. People will use Bitcoin regardless of what regulations are being put in place. Bitcoin's decentralized nature allows people to operate and transact outside the banking and governmental system. I personally don't give a single damn about whatever regulations governments put in place. I am not paying (and not going to do so in the future) tax over my coins. I am not reporting any of my holdings, even though I don't directly need to pay tax, etc. I am the boss over my wealth in Bitcoin - no one can tell me what to do.

[tripplewarz]

What happened to the anti-bitcoin politician (forgot his name), seems he is very vocal about his stance against bitcoin and went as far as saying is bitcoin is used for Ponzi scheme?

Maybe India's U-turn is another good news for bitcoin users their specially the general public. We all know that their is demonetization in India right now and I don't know when the government will end it, so adopting bitcoin will be a good alternative as a store of value for our Indian enthusiast.
It's truly amazing how bitcoin is changing the financial landscape of a lot of nation globally. And maybe this is another step for bitcoin to be truly recognizes around the world.

I wouldn't take this too seriously. In a mild form, this is basically going to be the same as what has been happening in Russia. One day Bitcoin is great and everything, where in the next month or two they plan to heavily restrict Bitcoin. People will use Bitcoin regardless of what regulations are being put in place. Bitcoin's decentralized nature allows people to operate and transact outside the banking and governmental system. I personally don't give a single damn about whatever regulations governments put in place. I am not paying (and not going to do so in the future) tax over my coins. I am not reporting any of my holdings, even though I don't directly need to pay tax, etc. I am the boss over my wealth in Bitcoin - no one can tell me what to do.

No one can do anything not Bitcoin, not their user. Since Bitcoin is anonymous, no government will be able to get the user and present him any claims or claims. Only in case of legalization in my opinion all this bravado benefits will end.

[1Referee]

Since Bitcoin is anonymous, no government will be able to get the user and present him any claims or claims. Only in case of legalization in my opinion all this bravado benefits will end.

It all depends. People tend to take Bitcoin's 'anonymous' nature a bit too serious. Nowadays, most exchanges require their users to fully verify themselves in order to keep using that exchange, where some exchanges even tend to freeze all your funds till you have done so. Every coin you withdraw from such exchange will have your information tied to it, and from there the exchange can basically follow everything you do. It might not sound like it is a big problem at first glance, but it will be when governments force exchanges to hand them over all user details. Everything at that point can, and will be used against you. Especially if becomes clear that you haven't been paying any tax, that you have spent your coins on illegal goods, etc. That's why I always advice people that if they happen to withdraw coins from an exchange, to run them through a mixer. It of course won't guarantee you 100% privacy, but it greatly contributes towards something close to that.

[DocGTR]

Since Bitcoin is anonymous, no government will be able to get the user and present him any claims or claims. Only in case of legalization in my opinion all this bravado benefits will end.

It all depends. People tend to take Bitcoin's 'anonymous' nature a bit too serious. Nowadays, most exchanges require their users to fully verify themselves in order to keep using that exchange, where some exchanges even tend to freeze all your funds till you have done so. Every coin you withdraw from such exchange will have your information tied to it, and from there the exchange can basically follow everything you do. It might not sound like it is a big problem at first glance, but it will be when governments force exchanges to hand them over all user details. Everything at that point can, and will be used against you. Especially if becomes clear that you haven't been paying any tax, that you have spent your coins on illegal goods, etc. That's why I always advice people that if they happen to withdraw coins from an exchange, to run them through a mixer. It of course won't guarantee you 100% privacy, but it greatly contributes towards something close to that.

Yes, if you set a goal, you can clearly identify who and when the bitcoins sent. Especially if a person converts bitcoin into a national currency.
But I can not believe that India will legalize bitcoin. They are not yet ready for this technologically

[Kprawn]

The second most populated country in the world with over 1.2 billion people..... Now that is something to take seriously.  

The Indian economy in 2017 is nominally worth US$2.454 trillion, it is the 6th-largest economy and is, at US$9.489 trillion, the third-largest by

purchasing power parity, or PPP.

India's telecommunication industry, the world's fastest-growing, added 227 million subscribers during the period 2010–11,and after the first

quarter of 2013, India surpassed Japan to become the third largest smartphone market in the world after China and the US. How can we not want

them to accept Bitcoin?  

[richardsNY]

How can we not want them to accept Bitcoin?  

There is a huge difference when it comes to people here willing India to welcome Bitcoin with open arms, and the reality that may not be in every Bitcoin fan's favor. India isn't Japan when it comes to how they look at Bitcoin. That's why I don't expect much from this. I rather put all my focus on Japan as they have set a very important step with legalizing Bitcoin. Expect a lot growth to come towards us from there -- it will greatly reflect in the price in the coming years.

[Bitwah]

We are from India and government has formed a committee to analyse cryptocurreny and suggest with future steps. They will be submitting report in 3 months.

[Slow death]

We are from India and government has formed a committee to analyse cryptocurreny and suggest with future steps. They will be submitting report in 3 months.

Is this report beneficial to bitcoin?

I saw some videos on youtube, it was a report from an indian tv channel that was associating bitcoin with the crime, in my opinion they were spreading lies about bitcoin.

[BitDane]

This is quite surprising for a country that confiscated their citizen gold, disabled the two highest paper money of their country.  But definitely, this is a great mover for Bitcoin in India.  I hope this will be approved and legalized so that people in there will have freedom over their money.  I would accept if I have to pay taxes for them in exchange for full control of my money.

[veleten]

What happened to the anti-bitcoin politician (forgot his name), seems he is very vocal about his stance against bitcoin and went as far as saying is bitcoin is used for Ponzi scheme?

Maybe India's U-turn is another good news for bitcoin users their specially the general public. We all know that their is demonetization in India right now and I don't know when the government will end it, so adopting bitcoin will be a good alternative as a store of value for our Indian enthusiast.
It's truly amazing how bitcoin is changing the financial landscape of a lot of nation globally. And maybe this is another step for bitcoin to be truly recognizes around the world.

his name is Kirit Somaiya, a member of parliament and a politician from the BJP, India’s ruling party at the center
he has insinuated that bitcoin is a “pyramid ponzi scheme”
if India with its 1 bil population legalises bitcoins it is going to be massive,way bigger than Japan
there are so many problems with fiat currencies in India and the inherent suspicion to any form of money that can't be put under a matrass (joking,here no offence intended)
indian people are less likely to store money in banks than any other developped country
India can't boast big wages so there will be microtransactions,loans,businesses using bitcoins en masse
bitcoin could serve as a parallel currency and create huge economic boom for India as a result as well as increase world's adoption and transaction numbers tenfold

[Esphere.in]

If India and China adapt bitcoin and if the government legalize bitcoin then the price would rally and the amount of investment coming into it will be really huge as India have more billionaire than the rest of the world and the population is really huge and they have close to two hundred million phone internet users which is really a prime place to legalize bitcoin.

[crypto.classroom]

They may want to regulate it but those who hold bitcoin and do not want to be regulated will be able to avoid those regs altogether

[pyata4ok]

If India and China adapt bitcoin and if the government legalize bitcoin then the price would rally and the amount of investment coming into it will be really huge as India have more billionaire than the rest of the world and the population is really huge and they have close to two hundred million phone internet users which is really a prime place to legalize bitcoin.

I'm just surprised that other countries and their government are finding positive moments in the field of crypto currency for themselves and the state, why others have this problem.

[Kemarit]

If India and China adapt bitcoin and if the government legalize bitcoin then the price would rally and the amount of investment coming into it will be really huge as India have more billionaire than the rest of the world and the population is really huge and they have close to two hundred million phone internet users which is really a prime place to legalize bitcoin.

I'm just surprised that other countries and their government are finding positive moments in the field of crypto currency for themselves and the state, why others have this problem.

But I doubt China will adopt bitcoin. PBOC has already put a tighter regulations on Chinese top exchanges because they suspect that something is fishy with their transaction volumes. But for India, its different. If they are open for bitcoin adoption in the future, then this will be another step for bitcoin to be fully mass adopted. I don't know what else the other country will think not to adopt bitcoin technology, if the most populous or second populous nation of earth embraces bitcoin.

[arpon11]

They may as well say they are planning to legalize people scratching their nose

Fuck off governments, we don't need you or your smiley official bullying

we need them to legalised bitcoin and others crytocurrency so that bitcoin will realise it full potential. You can see what happens to bitcoin price after Japanese government legalised it. India has a very big potential and they adoption is a plus to bitcoin and not minus.