what is the main reason for india to ban cryptocurrency

[drm]

For a long time, the Indian government has pointed out that investing in crypto currency is very risky and encourages citizens not to deal with it. Especially this is the beginning of a clear sound after bitkoin in December last year reached its record rate and began after that to dramatically lose its value. After that in bitcoin, they saw the manifestation of a financial bubble. However, while the crypto currency is not banned in India, it continues to walk relatively freely in this country. Its attitude towards it should be indicated by the legislative body of this country, by adopting the corresponding law.

India better put up with it or get left behind in the dust when other countries start embracing bitcoin.

[zolfa]

India not only bans bitcoin, but India bans all crypto. their main reason is that crypto is often used by people to commit crimes.

the population of India is booming and the criminality there is very high, and in their opinion, the crypto world provides an opportunity for the people of India to commit criminal acts. and it will destroy the security of India.

[iv4n]

For a long time, the Indian government has pointed out that investing in crypto currency is very risky and encourages citizens not to deal with it. Especially this is the beginning of a clear sound after bitkoin in December last year reached its record rate and began after that to dramatically lose its value. After that in bitcoin, they saw the manifestation of a financial bubble. However, while the crypto currency is not banned in India, it continues to walk relatively freely in this country. Its attitude towards it should be indicated by the legislative body of this country, by adopting the corresponding law.

India better put up with it or get left behind in the dust when other countries start embracing bitcoin.

India is the second densely populated country in the world, how will they control all this people? If their government allow just like that everyone to use what ever they wish they will be in big trouble, and that`s why there is so many news about banning crypto from India. I believe Indian government will realize that crypto is better system, but they need to think of the way how to control it and with it how to control what people there are doing.
Main reason is always behind control of the people, governments needs to have some laws and regulations or country can fall into a real chaos.

[sunlitit654]

The government or any third party cannot regulate the world of crypto currency, this makes the government officials very worried. As the chances of illegal activity is very high also it is feared by the government that the world of crypto currency will damage the economy of the country. Yet some countries are adapting to use crypto currency widely in the country.

[rolls89]

Ban?? Is the Govt really thinking so.It could be more apt if you wrote regulating instead of ban. Maybe the Govt wants to keep its control over the market,not loose its grip over financial market.I guess it's too early for them to understand Block chain and come up with something to regulate Bitcoin.

[Haynes]

Major reasons for fear of crypto or ban on crypto transactions in any country may :
1  Developing nations need surplus stocks of foreign currency.  These countries fear with the legalization and permission of trading in crypto ; there may be uncontrolled outflow of currency resulting in very tight foreign currency resources available.  
2.  Terror funding ; black marketing; money laundering becomes easy.  Many nations like India are suffering from the threat of islamic terrorists.  If their funding increases the attacks will increase.
3  Many citizens of a country having black money will easily divert their funds to safe heavens like Switzerland.

So India like many other nations is having fear for it.  Though Indian government wants the currency to be digitalized .  May be they are doing any research work for allowing crypto transactions legal because they also know it's benefits.

as careful as your insights because India is so strictly against Islam because of the majority of Hinduism there, I often see the noise in TV news in India.

but I hope the Indian government is not therefore forbidding Bitcoin, its true Bitcoin is created for good and facilitates financial transactions around the world.

[adamlillian]

i dont know why india is not legalizing the cryptocurrency ? 

People in India are really smart and I think the Indian government bans Cryptocurrency because they fear it will negatively affect their country's economy. Their country is having trouble in the economy so they do not want to have more trouble. That's my personal opinion.

[cleygaux]

Maybe they are afraid that someday all their fiats will be converted into digital coins with fixed supply unlike the current system that fiats money controlled by the governments central bank digital coins is a big threat to them because they hate decentralization fiat money will become worthless once many more people discovered this blockchain system and its advantages. 

[StuartJonson]

Truly its very disappointing for crypto users that India banned crypto currency based on this topic mainly RBI closed this system because they think it is harmful for their currency based on this many people doesn’t reserve money in bank because they investing in crypto may this is the reason.

[Bitdressa]

maybe this can boost the number of prosperity in India whose majority of the economy is still below and of course still close to poor, can not be said to be prosperous or simple.

[peacefulpeace]

but on a serious note, i dont think india has ban cryptocurrency, it is probably the indian media trying to cause panic in the system by intentionally misinterpreting Arun Jaitley's speech or words which lead to a drastic drop in price of bitcoin in India. Arun Jaitley on february 1st 2018 only mentioned the fact that bitcoin is not a legal tender which i believe every bitcoineers will agree upon.

[Snaic]

i dont know why india is not legalizing the cryptocurrency ? 

As far as I know, the reason why the Indian government does not want to legalize the crypto currency is that they consider bitcoin and some other kinds of decentralized crypto currency too risky for investments. Especially they began to warn their citizens against investing in bitcoin when, in December of last year, it rose to its peak in price and sharply after that it fell in value.
However, to date, there are no official bans on circulation of crypto currency in India. So far, only the Reserve Bank of India has ordered its lower banks not to make any transactions in the crypto currency. Legislators of this country did not adopt any normative legal acts with respect to the crypto currency.

[adejoke444]

To me i see the reason for that to protect their citizens against the risk involved in cryptocurrency and trying to regulate ir before letting them to use it fully.

[Kakmakr]

I think I have read somewhere that they are reversing that decision, because they admitted that they made that decision before they did enough research on the subject. They are now doing some further research into the technology and they might consider lifting the ban, after they completed the investigation.

I will look for the article and edit this post if I find it or someone else can post it, if they find it first. 

[AllenTurner]

Cryptocurrency is a digital currency that runs on decentralized system. No Central Government can control it. For this reason, many countries have banned cryptocurrencies.

[letstalkbitcoin2]

Seriouly speaking, i dont think india has ban cryptocurrency, it is the indian media trying to cause panic in the system by intentionally misinterpreting Arun Jaitley's speech which lead to a drastic drop in price of bitcoin in India. Arun Jaitley on february 1st 2018 only mentioned the fact that bitcoin is not a legal tender which i believe every bitcoineers will agree upon.

[Maddinson100]

Perhaps for the same reason as all other countries. Everyone is afraid of the consequences, they are afraid to take the first step, because they do not know what it will lead to, although they understand that cryptocurrency is not the future, but the technology of today. South Korea shows an example of introducing taxation and regulation of the crypto currency market and I am sure that further countries will follow Korea and will begin to make changes in their legislation and adopt cryptocurrency.

Yes even I think that the ban will be lifted and some laws will be implemented in such a manner that it regulates and watches over the usage of bitcoin or any crypto currency be it of traders, investors or normal consumers using it as an digital cash, whatever be the reason every country is afraid of bitcoin or any crypto harming its economy in any way thus taking no chances they are banning the usage of cryptos in their respective countries.

[anon.ph011]

india does not ban bitcoin


This week’s press release by the Reserve Bank of India has caused quite a stir. Depending on how one interprets the message, it seems the RBI wants to ban all Bitcoin trading. That is not the case, although their ultimatum is still rather significant. As of April 5th, the RBI has severed all ties with its own “regulated entities” and anyone dealing with cryptocurrency.

For banks servicing cryptocurrency companies, a big deadline looms overhead. All of these institutions have a maximum of three months to cease the support. If they do not adhere to this deadline, the bank in question is no longer a “partner” of the RBI. It is a fear-mongering tactic, although one that is not necessarily fatal.

According to Unocoin, there isn’t much to be worried about. There is no ban on Bitcoin and no indication the RBI deems it an illegal currency. No funds have been frozen either, and exchange users can continue to use the platform as they always have. With no banks alerting Unocoin of any impending changes, business will resume as normal until stated otherwise.

here is my source

https://www.newsbtc.com/2018/04/07/no-india-not-banned-bitcoin-trading-government-confirms/

[Burogh]

i dont know why india is not legalizing the cryptocurrency ? 

I think the reason is like others country. Government or central banks must be saying that bitcoin ban because it can use for any illegal activity etc etc. They should take and regulate bitcoin because it will helping many peoples

[servedmyself]

purchasing bitcoin become more rich person, RBI think that their currency will go down.everyone will purchase bitcoin only,where there is no risk at all.In india debit cards,credit card get fraud,hacked.but when purchasing bitcoin there is not fraud or hacking.