The government of India has announced in a statement that despite submitting a bill to regulate crypto and recognize it as an asset class rather than ban it, it will not engage in any marketing or promotion of the cryptocurrency industry.
India Is Not Looking to Market Crypto
Not long ago, crypto investors in India got some good news when the country announced that its previous plans of banning all digital currencies were likely to become null and void. Rather, regulators were now looking over a bill that would recognize crypto as a new asset class in India and would allow local investing. In other words, individuals could trade crypto within the country’s borders so long as their assets were stored in local exchanges.
But while all this is a positive step forward, government regulators have announced that they will do nothing to push crypto forward. There will be no marketing or promotion of the asset class given that it is still highly speculative and volatile, and thus they do not want to push people towards taking unnecessary risks.
A written document submitted by the Minister of State for Finance Pankaj Chaudhary states the following:
The government does not collect data on the cryptocurrency sector. A bill on cryptocurrency and regulation of official digital currency has been included for introduction in the Lok Sabha bulletin part II as part of government business expected to be taken up during the seventh session of seventeenth Lok Sabha, 2021.
Still, when one considers just how up and down the relationship between crypto and India has been, this still presents a solid future for well-to-do investors in the country. Trouble with crypto in India initially began in the year 2018 when it was announced that crypto and blockchain businesses would not be privy to financial tools or services offered by standard institutions such as banks.
This continued for about two years until the nation’s Supreme Court ruled the decision unconstitutional. The barring of services was immediately removed from the nation’s law books and it looked like India was well on its way towards becoming one of the big crypto hotspots of the modern world… That is, until it was announced that regulators were suddenly considering a full ban on crypto altogether.
You Can’t Trade Anymore!
This meant that people could not engage in transactions or crypto activity of any kind. People were told that if the rule passed, they would be forced to sell their crypto quickly, and anyone caught engaging in crypto activity after the ban was instilled would be forced to pay fines or could even serve prison time.
Right now, the new crypto bill that would regulate crypto rather than ban it is being considered in the winter session of Parliament, which is set to last through the end of December.