By FintechNews staff
-The government is set to introduce a bill to ban private cryptocurrencies and create a framework for an official digital currency to be issued by the Reserve Bank of India (RBI) during Parliament’s Winter Session starting November 29.
-If a new bill passes it could prohibit people from mining, holding, selling or transferring all private cryptocurrencies in India (including Bitcoin).
-Indian Prime Minister Narendra Modi stated that democratic nations should work together so that crypto “does not end up in wrong hands, which can spoil our youth.”
-Additionally, officials from India’s finance ministry are considering a framework that would treat cryptos more like commodities than currencies.
-What happens if this bill pass? The transactions between the bank and your crypto exchanges will be stopped. It won´t be possible to convert the local currency to buy any crypto.
-It’s worth mentioning that India is one of the biggest cryptocurrency markets in the world.
-The Reserve Bank of India (RBI) attempted to ban trading of cryptocurrencies in March 2020, but this was overturned by the country’s supreme court.