Looks like they are not getting Bitcoin

[Benson Samuel]

or they will catch 1 person and make a good example which will make others fear the same

Note that they have done far worse during the drug war despite which there are more drugs on the planet than ever before.

I would assume that this would be the same outcome on a Bitcoin ban.

Anything decentralized like P2P or Growing plants cannot really be controlled within reasonable cost and effort despite maximum punishment.

Few people may take a fall on the way to getting the system to work. But it will not be a mass effect.

[Pinwheel]

or they will catch 1 person and make a good example which will make others fear the same

Note that they have done far worse during the drug war despite which there are more drugs on the planet than ever before.

I would assume that this would be the same outcome on a Bitcoin ban.

Anything decentralized like P2P or Growing plants cannot really be controlled within reasonable cost and effort despite maximum punishment.

Few people may take a fall on the way to getting the system to work. But it will not be a mass effect.

it is matter of keeping face. why they went after Mtgox Dwolla account? Money leaving the system, a lot of money 600k btc transactions per day on mtgox, Government need money work for economy, so they can milk taxes later, they dont want money to disappear in cyberspace.

Luckily bitcoins as a network from scratch designed to be resilient against attacks, so they went after money. It surprised me to see how network module in Bitcoin-Qt discover another nodes. If nothing works it goes to IRC channels. Old hacker's method used to control botnets. These guys know their staff. So, going after bitcoins as network would be real hard and costly.

What they can do is to cut bitcoins from banks.  And it is what they doing in UK and USA. India will follow no doubts.

[Dashing]

No, they went after mtgoxs dwolla account because of the case coinlab filed against them, the US govt can only stop what's on their justriction, hence the reason they seized their dwolla account. This had nothing to do with bitcoin, all this happened because of the lawsuit which was filed by coinlab

[Pinwheel]

No, they went after mtgoxs dwolla account because of the case coinlab filed against them, the US govt can only stop what's on their justriction, hence the reason they seized their dwolla account. This had nothing to do with bitcoin, all this happened because of the lawsuit which was filed by coinlab

or coinlab suite happens because of that in first place. it really not so important what happens first. they found weak point and pressing on it. Bitcoins draining their sick finance system which is already dead 3 times at least.

[Benson Samuel]

Bitcoins draining their sick finance system which is already dead 3 times at least.

Hahahhaha, so true.

[buysellbitcoin]

Popularization of bitcoins in India will result in prohibition of bitcoins and criminalization of the whole area. From government point of view it is illegal alternative remittance system.

When it happens, we all know whom to blame for that. 

I do not think it will be any different from what ECB and finCEN have done.

Regulations, KYC, AML at the most.

first person to go to jail will be buysellbitcoins, next they will  get frozen all bank accounts of people who has done transactions with him.

Indian business model based on prohibition. Once it will come to their attention, I have little doubts what will be the next. 

Expecting almost whole Indian Bitcoin community having party there with me

On a serious note, I do share your concerns on this topic but I believe as long as you have proper records of your transactions, and you pay tax, you will get chance to explain yourself. If they want to close down business, I will simply close it without any argument as long as they have proper legal tender and authority to ask me that.

Bitcoin needs still at least 3 years in India to get mature.

[buysellbitcoin]

Bitcoins draining their sick finance system which is already dead 3 times at least.

Hahahhaha, so true.

lol.

[Benson Samuel]

Popularization of bitcoins in India will result in prohibition of bitcoins and criminalization of the whole area. From government point of view it is illegal alternative remittance system.

When it happens, we all know whom to blame for that.  

I do not think it will be any different from what ECB and finCEN have done.

Regulations, KYC, AML at the most.

first person to go to jail will be buysellbitcoins, next they will  get frozen all bank accounts of people who has done transactions with him.

Indian business model based on prohibition. Once it will come to their attention, I have little doubts what will be the next.  

Expecting almost whole Indian Bitcoin community having party there with me

On a serious note, I do share your concerns on this topic but I believe as long as you have proper records of your transactions, and you pay tax, you will get chance to explain yourself. If they want to close down business, I will simply close it without any argument as long as they have proper legal tender and authority to ask me that.

Bitcoin needs still at least 3 years in India to get mature.

No one will go to jail for dealing with BTC. Maybe some fines or cautions, but that is it.

If someone uses BTC for unlawful purposes, then there may be problems.

How do you identify the user of BTC? I pity the traders who need to make that judgement.

I appreciate the cautiousness being taken with Bitcoin, but my gut instinct tells me that this time it is going to be different.

Let me throw some points as to why:

1. The internet has become a cornerstone of National Security and defense, this cannot be taken down easily.
2. If anyone makes a move against Bitcoin, especially a country, expect a fight.
3. We are not in the same timelines as the 90's. Things have changed. Social media has made governments respect their citizens a wee bit more.
4. What will the Anons do if a government decides to go against the 'open currency of their internet'?
5. How will the intellectual public/ born anarchists react when they learn more about bitcoin?
6. There are steps that CIS will undertake to ensure that this does not happen.
7. Recent History:

The drug war did not eradicate drugs, instead they spread like wildfire because people started learning more about them. People started questioning their governments and regulators and when no answer was attained, the war had to be called off.

The war on t3rr0r was even worse. If we notice, now most of those people labelled as 't3rrorists' are now freedom fighters. In fact it was such a huge failure, that most people on the planet can be classified into atleast 3-5 buckets of t3rr0r characteristics. Hence it failed and has been called to halt.

Hypothetically, if governments did not learn from the 2 case studies mentioned above; we are in for a long period of time where Bitcoin will remain hunted, but will eventually win under the weight of the oppressors.

Alternatively, the governments could give up on banks (which may never happen) and decide that handling financial problems is not within their scope of rule.

This is my vision of things to come.

Absolutely no failure can be granted until there is an attempt. Imagine what needs to be done for a victory.

[Benson Samuel]

Indian business model based on prohibition. Once it will come to their attention, I have little doubts what will be the next.  

Indian Teleportation Device

https://i.imgur.com/WHfzr9n.jpg

[Pinwheel]

LOOK, you got money by cash deposit in bank, from person you dont know, you sent btc to someone you dont know, somewhere you dont have idea about. It is illegal remittance by all means of the law. bitcoins is unregulated territory they can turn it in any way they want. Imagine amount of shit Indian cop covering up. And here is such opportunity they not gonna miss it, I'm telling ya. If you have a friend lawyer ask if my interpretation correct or not. Bitcoins will mature in India, but it is hard to say how many years it will take, depend on the judge. I heard that female judges give more then males, but we dont have female judges in India, do we?

[Benson Samuel]

LOOK, you got money by cash deposit in bank, from person you dont know, you sent btc to someone you dont know, somewhere you dont have idea about. It is illegal remittance by all means of the law. bitcoins is unregulated territory they can turn it in any way they want. Imagine amount of shit Indian cop covering up. And here is such opportunity they not gonna miss it, I'm telling ya. If you have a friend lawyer ask if my interpretation correct or not. Bitcoins will mature in India, but it is hard to say how many years it will take, depend on the judge. I heard that female judges give more then males, but we dont have female judges in India, do we?

Let me throw some points as to why:

1. The internet has become a cornerstone of National Security and defense, this cannot be taken down easily.
2. If anyone makes a move against Bitcoin, especially a country, expect a fight.
3. We are not in the same timelines as the 90's. Things have changed. Social media has made governments respect their citizens a wee bit more.
4. What will the Anons do if a government decides to go against the 'open currency of their internet'?
5. How will the intellectual public/ born anarchists react when they learn more about bitcoin?
6. There are steps that CIS will undertake to ensure that this does not happen.
7. Recent History:

The drug war did not eradicate drugs, instead they spread like wildfire because people started learning more about them. People started questioning their governments and regulators and when no answer was attained, the war had to be called off.

The war on t3rr0r was even worse. If we notice, now most of those people labelled as 't3rrorists' are now freedom fighters. In fact it was such a huge failure, that most people on the planet can be classified into atleast 3-5 buckets of t3rr0r characteristics. Hence it failed and has been called to halt.

these are some points that have been racking my brains..
Try to reflect on these and you will notice that banks and governments are not that 'Powerful' any more!

[subvolatil]

1. The internet has become a cornerstone of National Security and defense, this cannot be taken down easily.
But  it can  be  firewalled  like  china. even though the  chinese  dont  stop  technology  progress  by placing  heavy regulations , it does  prevent  free press and  human rights.

2. If anyone makes a move against Bitcoin, especially a country, expect a fight.
Yup ! there  will be  a big backlash on this, but  no  country  can  stop the  use of  bitcoin  because  of  it  decentralized  model. the regulation and any form of ban on bitcoin  will only serve  to create  a  criminal  blackmarket. which  history has  shown  it  to be  highly dangerous.

3. We are not in the same timelines as the 90's. Things have changed. Social media has made governments respect their citizens a wee bit more.
dont know if that has  filtered  into  India  yet. remember the two girls  they  arrested  just because  they  said  some thing  so harmless. ther is  still  miles  to  go  for the  government to catch up to  modern  technology.

4. What will the Anons do if a government decides to go against the 'open currency of their internet'?
Well i  certainly think that  anon  presence is not that much  within  india, but  i do know that all  anons  will be against this  and  the LULZ will  certainly be epic.

5. How will the intellectual public/ born anarchists react when they learn more about bitcoin?
I'll tell you  when that happens. black block  all the way .  heheheh *evil smile*

6. There are steps that CIS will undertake to ensure that this does not happen.
Like  what?

[Pinwheel]

that is all good and valid points. nobody can stop bitcoins what they can do is to outlaw it, criminalize. that what governments do alway with something beyond of their control. It cannot be unregulated for long, they will put it under penal code and it become regulated that way, case closed.

[Benson Samuel]

Saw this by-law today
http://indiankanoon.org/doc/1621737/

[Pinwheel]

it depend on country and government, in some countries hawala operators legalized, they can easily obtain permission and run their shop. But dont expect it happens here.

[Benson Samuel]

it depend on country and government, in some countries hawala operators legalized, they can easily obtain permission and run their shop. But dont expect it happens here.

There was also a note somewhere saying that they were planning on amending this by-law.

[spndr7]

Bitcoin is a digital commodity.Selling or buying a commodity on peer to peer level is legal,as long as the seller is paying tax for it (if he includes that amount in his income).Registry of a transaction is only needed when the commodity is regulated by govt., like arms,vehicles,immovable property,stocks,bonds etc.

If I want to sell a LED TV to my friend.It will be totally legal,if I pay tax, for the money I got.If my friend smuggles LED TV to other country, he would be held responsible for smuggling not me.

Assumption: Commodity is created in India and trading is done within India.So, no question of money laundering and illegality.

So,If someone proves that certain amount of bitcoin was mined in India, and trade it on above conditions, within India, for rupees,it would be perfectly legal,until the govt. makes it mandatory to register domestic bitcoin transactions.

[Pinwheel]

Bitcoin is a digital commodity.Selling or buying a commodity on peer to peer level is legal,as long as the seller is paying tax for it (if he includes that amount in his income).Registry of a transaction is only needed when the commodity is regulated by govt., like arms,vehicles,immovable property,stocks,bonds etc.

If I want to sell a LED TV to my friend.It will be totally legal,if I pay tax, for the money I got.If my friend smuggles LED TV to other country, he would be held responsible for smuggling not me.

Assumption: Commodity is created in India and trading is done within India.So, no question of money laundering and illegality.

So,If someone proves that certain amount of bitcoin was mined in India, and trade it on above conditions, within India, for rupees,it would be perfectly legal,until the govt. makes it mandatory to register domestic bitcoin transactions.

authorities did not see it as commodity, based on examples from UK and USA. If you transmitted money from one place to another by means of bitcoins it is money transmission service, not a commodity. On both ends of transaction is a flat currency bitcoins is just a means to transmit flat currency from one place to another.

[spndr7]

Here I have mentioned domestic transaction.

[Pinwheel]

Here I have mentioned domestic transaction.

what difference it make, if it domestic or not, how can you prove with bitcoins that it was in fact domestic transaction. If Indian government still ignoring this biz, just because it has no any significant volume. if volume increase they will act 100%.