Cryptocurrency News

Proposed Crypto Ban Law Reportedly Under Review by Government of India

The Indian government is reportedly reviewing the modalities for banning or regulating cryptocurrencies in the country.

According to Bloomberg Quint, reports indicate That the government is in talks with financial regulators and industry stakeholders to examine the provisions of an earlier proposal, which effectively called for a complete ban on crypto in India.

Back in February, multiple reports out of India suggested a . fueled the fears of Possible crypto ban which has not yet come true. Instead, the narrative emerging outside the country is that officials are considering more The Subtle Approach to Cryptocurrency Regulations With blanket prohibition out of the question.

An unnamed source quoted by BloombergQuint says that current discussions are ongoing on clauses in previous crypto ban bills to determine whether an alternative approach is to be followed.

As per the publication, these discussions are proceeding on three fronts. The first two issues are reportedly surrounding whether crypto can be regulated or if the government should “hammer the sanctions”.

The third issue on the agenda is reportedly to find out the types of crypto activities that can be allowed in India under a standardized cryptocurrency regulatory paradigm.

As previously reported by Cointelegraph, the Reserve Bank of India continues to maintain its anti-crypto stance. RBI has previously said that it has informed the federal government about its reservations regarding cryptocurrencies.

Back in May, RBI clarified that commercial banks were not under orders From the central bank for refusing to service crypto exchanges. In fact, in March 2020, the Supreme Court of India overturned a previous RBI order barring banks from serving exchanges in the country.

related: India will reportedly drop bitcoin ban agenda in favor of asset classification

Given the deliberate tempo of the ongoing discussions, the cited source also said that a revised crypto regulatory bill is unlikely to be introduced during the upcoming monsoon session of Parliament that begins in July.

Meanwhile, three major cryptocurrency exchanges – Kraken, Bitfinex and KuCoin – are reportedly considering a Expand your business in India To provide services to an estimated 15 million crypto investors in the country.