Introducing a state-issued cryptocurrency

[uneng]

Union Finance Ministry has take a decision on a state-issued cryptocurrency soon but ban all private cryptocurrencies. The VHP leader had sought a ban on all cryptocurrencies alleging its usage to fund terrorism, drugs and other 'anti national activities'. As all private cryptocurrencies are still not considered as legal tender or coin in India, but the govt may introduce an official digital currency in India.

I think its a good decision by government.. What you guys think about it?

To ban private crypto currencies doesn't mean people are going to stop using them.

To launch a state-isued crypto currency doesn't mean people are going to adopt it.

In other words, nothing significant would happen if the proposal of Union Finance Ministry went ahead. Bitcoin would still be the favorite one and their national crypto would be nothing...

[lixer]

Union Finance Ministry has take a decision on a state-issued cryptocurrency soon but ban all private cryptocurrencies. The VHP leader had sought a ban on all cryptocurrencies alleging its usage to fund terrorism, drugs and other 'anti national activities'. As all private cryptocurrencies are still not considered as legal tender or coin in India, but the govt may introduce an official digital currency in India.

I think its a good decision by government.. What you guys think about it?

You think it is a good decision by the government? What makes you think that banning Bitcoin is a good decision? They could have introduced their own digital currency without banning Bitcoin. All these things are unnecessary, and moreover they can’t even provide any proof that bitcoin is being used as a means to fund terrorism,all these things are mere assumptions.

People have been funding terrorism even before anyone thought about Bitcoin or anything cryptocurrency. Anyways, the government will always look for any excuse. Of what difference will their CBDC make, is it going to be better? Apart from the fact that it will be fast and make transactions less cost, it is still going to be the same Fiat.

[adzino]

Union Finance Ministry has take a decision on a state-issued cryptocurrency soon but ban all private cryptocurrencies. The VHP leader had sought a ban on all cryptocurrencies alleging its usage to fund terrorism, drugs and other 'anti national activities'. As all private cryptocurrencies are still not considered as legal tender or coin in India, but the govt may introduce an official digital currency in India.

I think its a good decision by government.. What you guys think about it?

I have heard a lot about Indian "banning" or "trying to ban" crypto currencies. and they haven't done that yet... They just keep on saying they will. As far as I know people are still using crypto currencies over there without any problem. Well, they are banning it because it is not a legal tender over there? Then why don't they just make it a legal tender in their country? If they can make their own state issued crypto a legal tender, then they can make other private crypto currencies a legal tender.

[izsara]

honestly this is a pointless act in my opinion.
how can they think of making the same coin and legalizing the coin but on the other hand banning bitcoin and other cryptos?
this is actually not a good thing because I think something like this will only make their plans fail and never work like governments have done before.

Well, it's obvious that their point is to control the money of the people which is by the way impossible to do when using Bitcoin. They are just like banks and I think OP is lacking of understanding of how Bitcoin works. It's clear that many will attempt to compare or compete with Bitcoin and is trying to be on the top of the list of their people but that's just impossible to happen since they can't force all people to use their own government crypto-currency. Besides, Bitcoin can never be ban but they can ban their people from using it but there's always a way that people would try to use/trade Bitcoin without the government knowledge.

if you see what you say, it means that actually this coin is no different from CBDC and fiat in terms of performance because it seems as if it hopes it will match bitcoin.
I don't understand why the government is always naive in this matter by using a way as if they can match something that can't even be matched

On the other hand, it will be fun when they prohibit and use the coins they empower so that they can manage the finances in it. Will the people there be fooled by this? I think they are also smart in choosing and can distinguish diamonds from imitation

[romero121]

Years back the government made a ban on cryptocurrency and banks stopped supporting transactions associated with cryptocurrencies. By that time too, there's discussion on developing a state owned cryptocurrency. Even there were rumours that the state owned cryptocurrency is named as Lakshmi coin. I'm not sure, to what extent this is true.

Now once again the same discussion have come, but this time the government have announced cryptocurrency can be used as a commodity and not as a legal tender few months back. If the state owned cryptocurrency is developed, then it'll serve as the digital version of fiat. There'll be regular news, but the country won't develop its own coin. Because they knew well, people won't get interested using it.

[wxa7115]

Union Finance Ministry has take a decision on a state-issued cryptocurrency soon but ban all private cryptocurrencies. The VHP leader had sought a ban on all cryptocurrencies alleging its usage to fund terrorism, drugs and other 'anti national activities'. As all private cryptocurrencies are still not considered as legal tender or coin in India, but the govt may introduce an official digital currency in India.

I think its a good decision by government.. What you guys think about it?

Even if you are a Jr. member you have been part of the forum since December of 2017, that is almost 4 years, why would anyone think that the creation of a government backed digital currency and the banning of bitcoin and altcoins is a good idea?

Personally I do not mind the announcement of the creation of their own coin as this is something we knew was coming in the war against cryptocurrencies, after all as the proverb goes “if you cannot beat them, join them” however the obvious next step is to ban bitcoin and altcoins, which is what they are planning on doing, and I have a problem with that, basically they are seeing they are losing control of the economy because of their own actions and instead of accepting their mistakes they prefer that the population suffer so they can remain in power.

[eaLiTy]

Union Finance Ministry has take a decision on a state-issued cryptocurrency soon but ban all private cryptocurrencies. The VHP leader had sought a ban on all cryptocurrencies alleging its usage to fund terrorism, drugs and other 'anti national activities'. As all private cryptocurrencies are still not considered as legal tender or coin in India, but the govt may introduce an official digital currency in India.

There is nothing concrete to say that the Indian government is planning to ban all cryptocurrencies as we are hearing these rumors for a long time. The last i heard was that they might try to restrict cryptocurrencies as a mode of payment but will regulate the market.

I think its a good decision by government.. What you guys think about it?

Is there anything that the ruling central government has done in the past 7 years other than dividing people. So do not expect anything that will do good for everyone .

[24Kt]

I think its a good decision by government.. What you guys think about it?

So.. ban the people from using cryptocurrencies like bitcoin that provide financial freedom to the people, and let them use digital versions of local currencies instead; which the government can inflate(and set certain restrictions to people's finances) if they wanted to. I'm sorry how is this a good decision again?

It is not a good decision if they will ultimately ban the usage of crypto because as far as I see here, from the forum alone, there are a lot of Indians who are relying their income from crypto. So if their government will be tough on this, how can they survive now? Using their own digital currency is not the solution to assist these people. But I think, they are not yet totally banning the use of crypto, maybe for payment purposes but for conversion of their crypto to their fiat is still allowed.

[wxa7115]

I think its a good decision by government.. What you guys think about it?

So.. ban the people from using cryptocurrencies like bitcoin that provide financial freedom to the people, and let them use digital versions of local currencies instead; which the government can inflate(and set certain restrictions to people's finances) if they wanted to. I'm sorry how is this a good decision again?

It is not a good decision if they will ultimately ban the usage of crypto because as far as I see here, from the forum alone, there are a lot of Indians who are relying their income from crypto. So if their government will be tough on this, how can they survive now? Using their own digital currency is not the solution to assist these people. But I think, they are not yet totally banning the use of crypto, maybe for payment purposes but for conversion of their crypto to their fiat is still allowed.

It is obvious that if we see a government thinking about doing something like this they are not thinking about their population at all, they are thinking about themselves and how they can protect themselves against and adversary that is everywhere and that is so strong, as it is the case of bitcoin.

And the logical thing to do for them is to ban it regardless of how much this kind of movement could affect their population, but by doing something like this they show their population what they truly care about, which will eventually lead people to disobey the law, as if they have to pick between following an unjust law and live in misery and disobeying it and have a decent lifestyle it is obvious they will pick the latter instead of the former.

[Gyfts]

Union Finance Ministry has take a decision on a state-issued cryptocurrency soon but ban all private cryptocurrencies. The VHP leader had sought a ban on all cryptocurrencies alleging its usage to fund terrorism, drugs and other 'anti national activities'. As all private cryptocurrencies are still not considered as legal tender or coin in India, but the govt may introduce an official digital currency in India.

There is nothing concrete to say that the Indian government is planning to ban all cryptocurrencies as we are hearing these rumors for a long time. The last i heard was that they might try to restrict cryptocurrencies as a mode of payment but will regulate the market.

I think its a good decision by government.. What you guys think about it?

Is there anything that the ruling central government has done in the past 7 years other than dividing people. So do not expect anything that will do good for everyone .

They've plainly stated they want to regulate crypto currency, that is a step towards a ban. If they view crypto to be a threat (which any common sense government does), then they begin regulating the currency through convoluted tax law which makes no one want to use the currency.

If your left with high taxed crypto or traditional currency, no one will bother using crypto. And India has a poverty problem regardless, so there isn't any incentive for adoption. Adding in whatever regulations they can come up with will squash any crypto growth in India. Any crypto user should be against the regulation of crypto, it's one step before an outright ban.

[AmoreJaz]

Union Finance Ministry has take a decision on a state-issued cryptocurrency soon but ban all private cryptocurrencies. The VHP leader had sought a ban on all cryptocurrencies alleging its usage to fund terrorism, drugs and other 'anti national activities'. As all private cryptocurrencies are still not considered as legal tender or coin in India, but the govt may introduce an official digital currency in India.

There is nothing concrete to say that the Indian government is planning to ban all cryptocurrencies as we are hearing these rumors for a long time. The last i heard was that they might try to restrict cryptocurrencies as a mode of payment but will regulate the market.

I think its a good decision by government.. What you guys think about it?

Is there anything that the ruling central government has done in the past 7 years other than dividing people. So do not expect anything that will do good for everyone .

They've plainly stated they want to regulate crypto currency, that is a step towards a ban. If they view crypto to be a threat (which any common sense government does), then they begin regulating the currency through convoluted tax law which makes no one want to use the currency.

If your left with high taxed crypto or traditional currency, no one will bother using crypto. And India has a poverty problem regardless, so there isn't any incentive for adoption. Adding in whatever regulations they can come up with will squash any crypto growth in India. Any crypto user should be against the regulation of crypto, it's one step before an outright ban.

does their government realise that a lot of its people are relying on crypto during pandemic? that the govt failed to provide their basic needs. ive seen a lot of indians here who are relying from all sorts of bounties. how can their govt address such shortcomings?
anyway, i believe this kind of discussion will be delayed because right now, most govts are focused on how to end this pandemic era.

[Gyfts]

...

India is too impoverished for them to have to rely on crypto, they're a nonfactor in crypto growth in my opinion. Main countries/regions that would legitimately concern me if crypto was highly regulated/banned is EU, US and China. For India, the least they could do is focus on education/poverty issues along with a proper Covid response, yet they seem so concerned about regulating crypto into the ground. India's Covid response has been abysmal, so if their focus is indeed to eliminate it, they're doing a horrid job.

[dothebeats]

A digital version of the state currency. I don't see anything that has changed from just using fiat and a state-issued cryptocurrency. This isn't heading in the right direction, this is outright forcing people to ditch bitcoin and other crypto in favor of their own. There is no freedom in there and it will just force people to seek for avenues on where they could get their hands on bitcoin. This isn't solving any problems, this is actually creating another one.

[ahsanif]

With such a decision, it can be concluded that there is excessive worry. What is certain that one party benefits and the other can be harmed
I hope other countries can make wiser decisions because it will also affect the economic order so that there will be no crisis or inflation

[Ozero]

Union Finance Ministry has take a decision on a state-issued cryptocurrency soon but ban all private cryptocurrencies. The VHP leader had sought a ban on all cryptocurrencies alleging its usage to fund terrorism, drugs and other 'anti national activities'. As all private cryptocurrencies are still not considered as legal tender or coin in India, but the govt may introduce an official digital currency in India.

I think its a good decision by government.. What you guys think about it?

There can be no state cryptocurrency as such. States create digitized versions of their national currencies, that is, the stablecoins of their central banks. Digitized currencies cannot be considered cryptocurrencies. These are simply non-cash forms of calculating the national currencies of states, only working already predominantly using blockchain technology. We have yet to see the effectiveness of these digitized currencies.

[terrorJR]

A digital version of the state currency. I don't see anything that has changed from just using fiat and a state-issued cryptocurrency. This isn't heading in the right direction, this is outright forcing people to ditch bitcoin and other crypto in favor of their own. There is no freedom in there and it will just force people to seek for avenues on where they could get their hands on bitcoin. This isn't solving any problems, this is actually creating another one.

That's right, indirectly they just move and add something into more sophisticated technology but with the same system that is used.
Fiat or crypto issued by the government is actually the same as the monopoly behind it, hoping that when fiat is no longer seen by many people, the crypto issued by the government will be the next option.
even though I think things like this will only be a waste of time because even crypto issued by the government will not necessarily be of interest to many people

[Vaskiy]

Introducing a state issued cryptocurrency is not gonna make make anything perfect. The government has a clear picture about its people. From the days of lockdown due to covid-19 pandemic the usage of cryptocurrencies have risen.

The government knows they can't take a decision against the usage of cryptocurrencies, and thats the reason now government have revealed the plan of its own cryptocurrency. However this won't come to light, because similar plans as this have been into discussion for the past few years.

[Alert31]

Union Finance Ministry has take a decision on a state-issued cryptocurrency soon but ban all private cryptocurrencies. The VHP leader had sought a ban on all cryptocurrencies alleging its usage to fund terrorism, drugs and other 'anti national activities'. As all private cryptocurrencies are still not considered as legal tender or coin in India, but the govt may introduce an official digital currency in India.

I think its a good decision by government.. What you guys think about it?

It's like India government want to steal freedom of their community. How would this be a good government decision? A state issued cyptocurrency is centralized and there is no difference in fiat money because they have full control over it. People need a bitcoin because it is decentralized and I think India can't stop their people from using it.

[DrBeer]

Union Finance Ministry has take a decision on a state-issued cryptocurrency soon but ban all private cryptocurrencies. The VHP leader had sought a ban on all cryptocurrencies alleging its usage to fund terrorism, drugs and other 'anti national activities'. As all private cryptocurrencies are still not considered as legal tender or coin in India, but the govt may introduce an official digital currency in India.

I think its a good decision by government.. What you guys think about it?

Not a single state, NEVER, will issue a currency that it, the state, cannot manage and control! No, fantastic utopias can exist! Only on paper And a real state simply cannot exist with an uncontrolled financial and banking system. Therefore, you can forget about the "state cryptocurrency". The maximum that will be - a digital analogue of fiat, but with deeper monitoring, control, management capabilities for each transaction or a single cent!

[barbara44]

Union Finance Ministry has take a decision on a state-issued cryptocurrency soon but ban all private cryptocurrencies. The VHP leader had sought a ban on all cryptocurrencies alleging its usage to fund terrorism, drugs and other 'anti national activities'. As all private cryptocurrencies are still not considered as legal tender or coin in India, but the govt may introduce an official digital currency in India.

I think its a good decision by government.. What you guys think about it?

Lol, did you just say that it is a good decision that the government have made? Really, what makes you think that’s a good decision? Well, I am sorry to say that I think otherwise. The government is always saying that they don’t like bitcoin because it is being used to fund terrorism.

My question is, all these years, before cryptocurrency, that different places around the world has faced terrorism, how exactly were they being funded? Is there any other ways that they were able to fund these terrorists, if not with the Fiat? And what has the government been able to do about that? They were not even able to stop those that were funding terrorists even with the Fiat they control. It might surprise you to know that most of these terrorist groups are funded by the so called government.