India is preparing to do the impossible by banning cryptocurrencies such as Bitcoin in any form, a newly leaked document revealed this week.
Alleged Draft Law ‘Prohibits’ Bitcoin & Crypto
Uploaded to sharing site Scribd by local blockchain and tech lawyer, Varun Sethi, the document allegedly shows the preliminary text of a new law designed to “prohibit the use of cryptocurrency.”
The event adds fuel to existing speculation that India’s government and central bank wish to outlaw the use of cryptocurrencies beyond their control.
If the document is genuine, it would confirm that any kind of activity involving bitcoin and altcoins will be illegal.
“No person shall mine, generate, hold, sell, deal in, issue, transfer dispose of or use cryptocurrency in the territory of India,” one of the statutes reads.
Sethi described the document as “the proposed Banning of Cryptocurrency and Regulation of Official digital currency bill 2019.”
The bill is yet to be drafted completely and tabled in the parliament to become an Act with or without modifications
Suggested punishments for those who go against the government’s orders include prison sentences of up to ten years.
Banning ‘Un-Bannable’ Bitcoin
As Bitcoinist reported, India currently sits in a grey area regarding crypto regulation. Since July last year, banks have been prohibited from serving industry businesses such as exchanges, leading to a mass exodus, while others have simply closed down.
In the absence of hard-and-fast laws, some remained hopeful of a positive outcome in the long term, as opponents of the banking ban took the Reserve Bank of India (RBI) to court over its decision.
Now, however, India appears set to go even further than China in its anti-crypto stance,