The legislative agenda put out by the government in India showed plans to ban all private cryptocurrencies and create a framework for an “official” digital currency that exists under the control of the country’s central bank. The blow for crypto and financial freedom in India means that a huge swath of Asia will have private crypto unavailable to them.
According to the agenda item, which was posted late last week, the law will “create a facilitative framework for creation of the official digital currency to be issued by the Reserve Bank of India.” While the proposed law has yet to be debated, it seems to cover all private cryptocurrencies, though a statement in the announcement also noted that special exceptions may apply, presumably in instances where private crypto could help facilitate a larger project with its underlying blockchain technology.
What’s most surprising about the crypto investing in India is that in 2019, a government panel in India recommended that the punishment for dealing in cryptocurrencies should be up to 10 years in prison, along with heavy fines. If the new law were to pass, it would be the most drastic ban on cryptocurrencies in the world.
