Indian authorities to reconsider crypto banning
It has recently been reported that the government of India plans to reconsider cryptocurrency banning, the corresponding discussions are being already held at the ministerial level. The initiative is said to belong to the supreme court deciding to cancel the ban previously imposed by the leading Indian bank.
Not so long ago, India was going to ban crypto on the legislative level by accepting a new law. The authorities believe that legal regulation is highly important for this issue and the circular framework offered by the central bank of India is not so effective.
By decision of the Indian supreme court dated March 4th the circular of the Reserve Bank of India released a month earlier was quashed. It means that financial institutions will probably be able to legally provide cryptocurrency services again, exchanges included.
The corresponding note will be considered by the cabinet upon the series of consultations and finally sent to the parliament.
Let us remind, that in February 2019 the Indian finance ministry received a crypto banning document proposing prison terms for violators. The document was officially presented to public in July and had to be examined by the parliament in winter but it didn’t happen. The decision of the supreme court gave hope to the cryptocurrency industry that was waiting for the ban to be reevaluated.
Meantime, experts believe there’s much to be done and considered before the note may find a parliamentary approval. Those people who do not understand how innovative technologies work will always take them without enthusiasm. It’s hard to ban something that cannot be banned technically. This way or another, the parliamentary process if initiated, is going to last long. The industry should trim the sails to the wind and engage in a constructive way.