India Banning Cryptos

[aysg76]

Meetings were held, current law is insufficient. Bill is in process,it will go in Cabinet tor approval.
Crypto Bill coming soon.
             
https://twitter.com/cryptokanoon/status/1359008918018478083?s=19

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[Wapinter]

Now that ban seems inevitable, the big question is will government allow holders to sell off their holdings or will not. What if they don't allow it?
We all will suffer big loss.

[PhoenixZephyrus]

I believe its just the govt's way of promoting their own crypto, which will be a centralized one, with none of the actual benefits that are offered by the usual crypto like bitcoin. And if India's track record is to be of any indication about digital currency/databases/apps, they have been prone to many data and security leaks, on top of being closed source. The proof of why bitcoin works is out there and if its somehow "hacked", say like a double spend, the whole community will know about it, whereas in this case, if there is some kind of a hack that does get discovered, it will likely be exploited long before the community has any time to respond.

[CryptoChartIndex]

Crypto Exchanges in India are moving fast as they will give fight to the Regulation.

[KryptoKings]

Crypto Exchanges in India are moving fast as they will give fight to the Regulation.

Good move. If we get more crypto users, we can out more pressure on Government to reconsider their proposed ban bill.
We all must also keep posting about cryptos on our social media accounts. This will attract more people to crypto.
Currently we have 8 million crypto users, we have to get 100 million.

[libert19]

Well, this was unexpected. The information I got from my source was different. It's bad to see that government is still skeptical about cryptocurrencies. I am not very positive about the word 'private'. I don't think government is being technical here and referring to privacy coins. The term 'private' here, more or less referring to the general meaning i.e. the ownership other than that of government.

I am also not very positive about the term 'exceptions'. I don't think it is being used to exclude some of the current coins like bitcoin from the ban. Rather, it would allow certain class of people to create cryptocurrencies. I think this is a kind of corporate favouritism. Since most of the big companies in India have already invested alot in blockchain technology, government will allow them to host their own coins. (Government being controlled by the corporate, this isn't something new we are witnessing, right?).

Anyhow, the details of bill still isn't available in public domain. Let see what it contains when it will be presented in Parliament.

There's a spelling mistake in the word cryptocurrency in the last sentence which creates a doubt in my mind if the source is actually true.

The image is not from the official bill. It's rather a list containing all 20 bills to be presented in upcoming Budget Session. Such mistake can happen, nothing special.

These were my thoughts too. Even after the RBI's previous bans were overturned, there's again gonna be some kind of banning of crypto. And you bet that the government will start promoting their own/cryptos that are made for certain private companies like crazy. I'm hoping for this to not pass during the Budget Session on 1st Feb, but what the hell, it probably will and that's just sad, even after more people embracing crypto, its still being held in a negative light by the government.

I sure hope trading and exchanges like Binance can still operate in India, atleast let trading be legal. Otherwise this stifles the tech in India in people are just missing out. Here's what I want to know though: Even after the ban, can people still trade on platforms that do not require KYC? Can people keep the BTC that they have currently and use it for BTC transactions, without exchanging for fiat in India?

Due to the anonymous nature of BTC, I think yes people can still hold and trade it on dex or exchanges that do not require kyc buy it is going to be risky affair. I don't advice to do anything against law.

do not yet come to any conclusion, Government has been playing with the mind of the Indian cryptocurrency community since 2018. They have signaled that they will ban it many times but the biggest question arises How?

There are more people on the internet in India than anywhere in the world, Is it practically possible to ban cryptocurrency which is also known as Internet currency. I do not think so!

When Pakistan is trying to regulate and China is also how can you think this Indian government will ban crypto?

They certainly can't ban but it can affect/scare away the user base of crypto in India, in just last week or so usdt price came down because of this ban news.

[Mistafreeze]

Well, this was unexpected. The information I got from my source was different. It's bad to see that government is still skeptical about cryptocurrencies. I am not very positive about the word 'private'. I don't think government is being technical here and referring to privacy coins. The term 'private' here, more or less referring to the general meaning i.e. the ownership other than that of government.

I am also not very positive about the term 'exceptions'. I don't think it is being used to exclude some of the current coins like bitcoin from the ban. Rather, it would allow certain class of people to create cryptocurrencies. I think this is a kind of corporate favouritism. Since most of the big companies in India have already invested alot in blockchain technology, government will allow them to host their own coins. (Government being controlled by the corporate, this isn't something new we are witnessing, right?).

Anyhow, the details of bill still isn't available in public domain. Let see what it contains when it will be presented in Parliament.

There's a spelling mistake in the word cryptocurrency in the last sentence which creates a doubt in my mind if the source is actually true.

The image is not from the official bill. It's rather a list containing all 20 bills to be presented in upcoming Budget Session. Such mistake can happen, nothing special.

These were my thoughts too. Even after the RBI's previous bans were overturned, there's again gonna be some kind of banning of crypto. And you bet that the government will start promoting their own/cryptos that are made for certain private companies like crazy. I'm hoping for this to not pass during the Budget Session on 1st Feb, but what the hell, it probably will and that's just sad, even after more people embracing crypto, its still being held in a negative light by the government.

I sure hope trading and exchanges like Binance can still operate in India, atleast let trading be legal. Otherwise this stifles the tech in India in people are just missing out. Here's what I want to know though: Even after the ban, can people still trade on platforms that do not require KYC? Can people keep the BTC that they have currently and use it for BTC transactions, without exchanging for fiat in India?

Due to the anonymous nature of BTC, I think yes people can still hold and trade it on dex or exchanges that do not require kyc buy it is going to be risky affair. I don't advice to do anything against law.

do not yet come to any conclusion, Government has been playing with the mind of the Indian cryptocurrency community since 2018. They have signaled that they will ban it many times but the biggest question arises How?

There are more people on the internet in India than anywhere in the world, Is it practically possible to ban cryptocurrency which is also known as Internet currency. I do not think so!

When Pakistan is trying to regulate and China is also how can you think this Indian government will ban crypto?

They certainly can't ban but it can affect/scare away the user base of crypto in India, in just last week or so usdt price came down because of this ban news.

What are you saying? Why can't they ban it? They can ban it but it will not be easy to implement the ban.
BTC is untraceable, you can hold it in your mobile wallet and nobody will know it.
Just stop usind centralised exchanges to buy and sell and you will be good.

[suvo05]

We really don't have an idea about what is going to happen next. But the move by the gov is not positive. They might put a ban but I don't think that ban will last long enough. When the whole world is going with it, going against it will certainly is not a good idea.  As per media report even holding will not be allowed, that is really crazy.

Just stop usind centralised exchanges to buy and sell and you will be good.

Any decentralized exchange operating in India?

[Wapinter]

We really don't have an idea about what is going to happen next. But the move by the gov is not positive. They might put a ban but I don't think that ban will last long enough. When the whole world is going with it, going against it will certainly is not a good idea.  As per media report even holding will not be allowed, that is really crazy.

Just stop usind centralised exchanges to buy and sell and you will be good.

Any decentralized exchange operating in India?

You can use localbitvoin and paxful. They are p2p exchanges

[KryptoKings]

We really don't have an idea about what is going to happen next. But the move by the gov is not positive. They might put a ban but I don't think that ban will last long enough. When the whole world is going with it, going against it will certainly is not a good idea.  As per media report even holding will not be allowed, that is really crazy.

Just stop usind centralised exchanges to buy and sell and you will be good.

Any decentralized exchange operating in India?

Decentralized exchange even if available can not do crypto to fiat conversion. For that you will either need p2p ot centralised exchange.

[pawanjain]

I didn't wanted to created another topic and so posting it in this relevant thread.

So the RBI governor Shaktikanta Das has confirmed that they are working towards launching their own Digital Currency.
The CBDC is receiving full attention from the RBI as cryptocurrencies are gaining popularity these days.
They are exploring the options whether a digital version of the fiat currency is necessary or not.

More info at : Explained: India inches closer to launching a digital currency; 5 key points

[amishmanish]

I didn't wanted to created another topic and so posting it in this relevant thread.

So the RBI governor Shaktikanta Das has confirmed that they are working towards launching their own Digital Currency.
The CBDC is receiving full attention from the RBI as cryptocurrencies are gaining popularity these days.
They are exploring the options whether a digital version of the fiat currency is necessary or not.

More info at : Explained: India inches closer to launching a digital currency; 5 key points

Indian payment systems are already digital enough. A CBDC would probably just serve the central banks better for settlement transactions with banks that they do on a daily basis. It may reduce the workload with DLT servers between the banks themselves.
Besides that, I don't think these will be anything like blockchains or cryptocurrencies. It is as good as replacing the database for central banks. Interestingly though, if the banks launch such currencies; it will become very easy for them to keep track of business transactions done by individuals and professionals. This also means more tax revenue. I think it will be fair if the public too gets to scrutinize the expenses from public authorities in return. Let us do away with CAG and all the other numerous audit agencies. Lets put everything on RBI's CBDC and let everyone watch the transactions.

If this is not the ultimate goal then using CBDC is only going to be an eyewash to dissuade the general public from bitcoin and crypto in general.

[Mistafreeze]

I didn't wanted to created another topic and so posting it in this relevant thread.

So the RBI governor Shaktikanta Das has confirmed that they are working towards launching their own Digital Currency.
The CBDC is receiving full attention from the RBI as cryptocurrencies are gaining popularity these days.
They are exploring the options whether a digital version of the fiat currency is necessary or not.

More info at : Explained: India inches closer to launching a digital currency; 5 key points

Indian payment systems are already digital enough. A CBDC would probably just serve the central banks better for settlement transactions with banks that they do on a daily basis. It may reduce the workload with DLT servers between the banks themselves.
Besides that, I don't think these will be anything like blockchains or cryptocurrencies. It is as good as replacing the database for central banks. Interestingly though, if the banks launch such currencies; it will become very easy for them to keep track of business transactions done by individuals and professionals. This also means more tax revenue. I think it will be fair if the public too gets to scrutinize the expenses from public authorities in return. Let us do away with CAG and all the other numerous audit agencies. Lets put everything on RBI's CBDC and let everyone watch the transactions.

If this is not the ultimate goal then using CBDC is only going to be an eyewash to dissuade the general public from bitcoin and crypto in general.

Yes cbdc will bring transparency and will prevent lots of financial crimes and discrepancies in private and government sectors.
But fiat is not going to be in use soon. Unless there is some law that if your income is above a certain limit, you must keep your savings in cbdc.

[pawanjain]

I didn't wanted to created another topic and so posting it in this relevant thread.

So the RBI governor Shaktikanta Das has confirmed that they are working towards launching their own Digital Currency.
The CBDC is receiving full attention from the RBI as cryptocurrencies are gaining popularity these days.
They are exploring the options whether a digital version of the fiat currency is necessary or not.

More info at : Explained: India inches closer to launching a digital currency; 5 key points

Indian payment systems are already digital enough. A CBDC would probably just serve the central banks better for settlement transactions with banks that they do on a daily basis. It may reduce the workload with DLT servers between the banks themselves.
Besides that, I don't think these will be anything like blockchains or cryptocurrencies. It is as good as replacing the database for central banks. Interestingly though, if the banks launch such currencies; it will become very easy for them to keep track of business transactions done by individuals and professionals. This also means more tax revenue. I think it will be fair if the public too gets to scrutinize the expenses from public authorities in return. Let us do away with CAG and all the other numerous audit agencies. Lets put everything on RBI's CBDC and let everyone watch the transactions.

If this is not the ultimate goal then using CBDC is only going to be an eyewash to dissuade the general public from bitcoin and crypto in general.

You are probably right that the CBDC might benefit us if everything is transparent but the major concern here is whether they will make it on a private blockchain or a public blockchain.
I guess it will only benefit us when they create it on a public blockchain so that everything is transparent and verifiable by everyone.
But yes of course that depends on it's utility whether they are planning to develop it for banking purposes only or as a mainstream payment mechanism carried out by ever entity in India.

According to an article I read today Shaktikanta Das mentioned in an interview that their major concerns revolve around financial stability.
This means that the CBDC will most probably be a stable coin. He also mentioned that once CBDC is launched they might tie up with banks of China where they have electronic Yuan.
Well, I am not sure how good this idea would be but it shows how determined RBI is to launch their own CBDC.

My only concern is "Jo karna hai karo lekin Ban mat karo". 

[KryptoKings]

7 days remain for this parliament session to resume. Their is still confusion if crypto bill will be placed on table during current session or will it be postponed till mansion session.
I hope they don't present bill during current session.

[amishmanish]

You are probably right that the CBDC might benefit us if everything is transparent but the major concern here is whether they will make it on a private blockchain or a public blockchain.

I don't mean it will benefit us as general public. It will benefit the government enabling them to collect more taxes. As citizens, if they impose CBDC on us and track every single transaction, it is but natural justice for citizens to be able to trace every penny spent. If a CBDC comes into usage, this will be a fight akin to the Right to Information.

If my Tax Commissioner and District Magistrate wants to know what I earn and how I spend, I want to know how he spends my taxes too.

According to an article I read today Shaktikanta Das mentioned in an interview that their major concerns revolve around financial stability.
This means that the CBDC will most probably be a stable coin. He also mentioned that once CBDC is launched they might tie up with banks of China where they have electronic Yuan.
Well, I am not sure how good this idea would be but it shows how determined RBI is to launch their own CBDC.

Of course it'll be a stablecoin, pegged to INR. By stability he wants to imply that crypto can cause financial instability. Crypto usage means that more people can have access to funds and revenue from alternate sources without ever touching the banks. This disturbs their precious cycle of keeping the masses bound with EMIs and Wage-cycles. The fear is irrational though, considering that most Indians usng crypto do so through KYC etc. Most others are really just seeing them as dev job opportunities. In their fear and ignorance, they are doing more harm than good.

My only concern is "Jo karna hai karo lekin Ban mat karo". 

Amen Bro..

[Wapinter]

7 days remain for this parliament session to resume. Their is still confusion if crypto bill will be placed on table during current session or will it be postponed till mansion session.
I hope they don't present bill during current session.

Parliament session is over without the bill. That means either government will make changes in the bill as demanded by crypto community or it will postpone it for few years and maintain the status quo.

[Clement Kaliyar]

Parliament session is over without the bill. That means either government will make changes in the bill as demanded by crypto community or it will postpone it for few years and maintain the status quo.

Not sure about that and there is no clarity on what they are planning to do, one thing i know is that the government has asked companies to report their cryptocurrency holdings when they file the financial statement next month which means all the exchanges in India will hand over the customer data to the government. Will see what happens next after collecting all these data, will they start freezing bank accounts or monitor our transactions is to be seen.

[CoinFellow]

Parliament session is over without the bill. That means either government will make changes in the bill as demanded by crypto community or it will postpone it for few years and maintain the status quo.

Not sure about that and there is no clarity on what they are planning to do, one thing i know is that the government has asked companies to report their cryptocurrency holdings when they file the financial statement next month which means all the exchanges in India will hand over the customer data to the government. Will see what happens next after collecting all these data, will they start freezing bank accounts or monitor our transactions is to be seen.

I don't think you are correct here. Government has asked companies to report their crypto holdings when filing financial statement - this does not mean exchanges in India have to hand over their customer data to the government. Not sure how did you arrive at this inference. In a way this is good because it means that government is moving towards regulation (which is good) instead of outright crypto ban. We just have to see if government also asks individuals to declare their crypto holdings while filing IT Returns.

I think in the last 1.5 months this issue was blown up by media with news reports everyday citing their 'sources'. One news report even said that government would track and block IP addresses which buy/sell cryptos. Now this is going over the cliff without any basis.

I feel since the government didn't bring in the crypto bill in Budget session, they are re-looking into it and maybe making some changes.

[Clement Kaliyar]

Parliament session is over without the bill. That means either government will make changes in the bill as demanded by crypto community or it will postpone it for few years and maintain the status quo.

Not sure about that and there is no clarity on what they are planning to do, one thing i know is that the government has asked companies to report their cryptocurrency holdings when they file the financial statement next month which means all the exchanges in India will hand over the customer data to the government. Will see what happens next after collecting all these data, will they start freezing bank accounts or monitor our transactions is to be seen.

I don't think you are correct here. Government has asked companies to report their crypto holdings when filing financial statement - this does not mean exchanges in India have to hand over their customer data to the government. Not sure how did you arrive at this inference. In a way this is good because it means that government is moving towards regulation (which is good) instead of outright crypto ban. We just have to see if government also asks individuals to declare their crypto holdings while filing IT Returns.

Let me explain that to you, you agree that the government asked companies to report their crypto holdings when filing financial statement right, what happens with the exchanges they need to disclose their personal company holdings majority customer funds stored in the exchange and what do you think will happen, they will be providing those customer information as well and it is not a big deal for a government to ask for all the customer data from these exchanges and if they are planning to ban they can target these users.