If you’ve been keeping up to date with the crypto space over the past few weeks then you will have heard about India’s ‘proposed’ blanket ban over cryptocurrencies in the nation. This blanket ban would make ownership of Bitcoin and altcoins completely illegal and if found guilty of holding such digital assets, you could be facing up to ten years in prison.
However, despite this being common knowledge within the crypto community, the Reserve Bank of India (RBI) has denied that this ‘proposed’ bill actually exists.
Amongst this, the RBI has responded to a ‘Right to Information’ request which was published on 4th June by a lawyer that works in blockchain-related matters. The Bank claims that they weren’t in communication with governmental bodies throughout the legislative process as well as them not receiving any copy of the bill.
Regulation for Bitcoin and blockchain in India hasn’t had an easy ride with threats of bans being interspersed with different government initiatives, as well as a regulatory sandbox from the RBI.
It’s worth noting that just because the Indian Bank doesn’t acknowledge this new bill, it doesn’t necessarily mean that it isn’t a real thing. That being said, the high level of participation from the RBI in previous crypto matters.
India vs Cryptocurrency
As previously mentioned, there is a harsh punishment involved for people who defy this bill. It seems that the nation is taking their approach to crypto with an iron fist as offenders of the bill would be subject to ‘non-bailable’ sentences according to ‘The Banning of Cryptocurrency and Regulation of Official Digital Currency Bill’, sourced by Bloomberg.
On top of this, it adds the degree of punishment which would be appropriate to the user’s cryptocurrency portfolio.