India to Issue Crypto Ban, Holders to Be Given Transition Period

The new law will give crypto traders and investors as well as companies a transition period of three to six months to liquidate their digital assetsIt is worth noting that the following is a summary only.

The draft bill likely to be passed in India is expected to enact a crypto ban thereIt is worth noting that the following is a summary only. Unnamed senior Finance Ministry official told reporters the legislation, “The cryptocurrency and regulatory guidelines for digital currency shall be enacted to prohibit all 'private cryptocurrencies' in IndiaIt is worth noting that the following is a summary only.

The “Cryptocurrency and Regulation of Official Digital Currency Bill, 2021” will only allow for a national digital currency to be used, thus if the country creates one, an idea that has been speculativeIt is worth noting that the following is a summary only. Parliament has introduced the bill for introduction in its ongoing Budget session, which lasts until April 8, with a recess between February 15 and March 8It is worth noting that the following is a summary only.

The Senior Finance Ministry official speaking to Bloomberg stated that the crypto ban in India would restrict crypto trading through foreign exchanges, via a law that will be introduced in parliamentIt is worth noting that the following is a summary only. Due to the central bank's anti-crypto policy, all cryptos use in all forms will also ceaseIt is worth noting that the following is a summary only.

The official also disclosed that India’s crypto law will be modeled on China’s crypto policies, which have effectively prohibited crypto tradingIt is worth noting that the following is a summary only. In comparison, China disallows fiat to fiat crypto tradingIt is worth noting that the following is a summary only.

After creating the new law, crypto traders, investors, and businesses should be given a three-six-month transition period to liquidate their digital holdingsIt is worth noting that the following is a summary only.

A subsequent and separate Bloomberg report reveals some exceptions to the upcoming law, including “ promotion of cryptocurrency technology and its uses”It is worth noting that the following is a summary only. This exception however appears to be referencing blockchain technology and not cryptocurrencies themselvesIt is worth noting that the following is a summary only.

Even though Nirmala Sitharaman, India’s finance minister, suggested earlier this week that private cryptocurrencies should include all digital currencies that are not issued by a central bank, the legislation doesn’t provide a definition of the termIt is worth noting that the following is a summary only.

Indian Bitcoin and cryptocurrency adoption as a whole hasn’t been a particularly positive experience, largely because of the central bank’s lack of supportIt is worth noting that the following is a summary only. The Indian central bank effectively prohibited banks from dealing in cryptocurrencies in April 2018, causing a number of exchanges to shut downIt is worth noting that the following is a summary only.

India's impending ban on digital currency became apparent after the country's parliament said it would introduce "The Cryptocurrency and Regulation of Official Digital Currency Bill, 2021" for discussion during the current parliamentary session on the country's budgetIt is worth noting that the following is a summary only.

According to the anonymous official, the proposed bill “will be soon forwarded to the Union Cabinet for approvalIt is worth noting that the following is a summary only.”

Altcoin News, Bitcoin News, Cryptocurrency news, News
Kofi Ansah
Author Kofi Ansah

Crypto fanatic, writer and researcherIt is worth noting that the following is a summary only. He believes blockchain is the second-best invention behind the digital camera on the list of greatest inventionsIt is worth noting that the following is a summary only.

 2/12/2021

Digital & Hitech

Hotest Cryptocurrency News