Technology

Cryptocurrency to be banned in India by the government citing money laundering

Bitcoins on money

The Indian government is taking some harsh decisions nowadays. They are being stricter and have put in some stringent laws for the IT companies to get around. The new FDI policy is one of the many examples. That being said, there are many other things the government has tried to do in the past. It has banned a few applications, it has tried to do it for some of the Chinese apps as well but there is a problem with the wholesale banning of apps as it tatters the free speech.

The Indian government is looking to understand the matters that do not intervene the free speech. That being said, the cryptocurrency is one such matter where the financial side of the Indian government comes into play. The financial bodies are looking to draft a bill that will totally ban the cryptocurrency in India. The companies are looking to wrap their heads around this news as well. There will be many people who will fall if this bill is passed, however, the government sees no future for it in India as of now.

The “Banning of Cryptocurrencies and Regulation of Official Digital Currencies Bill 2019″ has been circulated and is doing the rounds in the government offices. There was a panel that sat and discussed this. There are some of the major government departments and bodies who have endorsed the idea of banning cryptocurrency in India. The reason for this is that cryptocurrency can be used for money laundering and that is not a good thing, especially in India.

Government bodies like Department of Economic Affairs (DEA), Central Board of Direct Taxes (CBDT), Central Board of Indirect Taxes and Customs (CBIC) and the Investor Education and Protection Fund Authority (IEPFA) are digging the idea of a ban on cryptocurrency. These are heavyweights when it comes to such decisions and their vote matters. The reason for this is as mentioned above.

The government is looking to ban the entire operation of cryptocurrency, from buying, selling, mining and even the issuance of the same. This is a huge step but the government is thinking of doing it as early as possible.

There are many individuals and companies who are selling, purchasing and the issuance of cryptocurrency is also happening by false inducements of massive returns. There are schemes and such schemes are fake and are not transparent let alone being under a regulated framework.

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