Crypto’s Future In India: Bitcoins Can Be Regulated, But Won’t Be Banned (Minister’s Update)

In the latest update to the highly-awaited new crypto bill, Finance Minister Nirmala Sitharaman informed in the Rajya Sabha that the rumours making rounds of banning all cryptocurrencies in India is not true, and a positive regulation is likely to permit investments and trading in the crypto industry, with certain restrictions.

FM Sitharaman also clarified that the new crypto bill would soon be introduced in the Parliament, as soon as it receives a clear from the Cabinet.

FJM Sitharaman on New Crypto Bill

The Crypto Bill is among the 26 new Bills to be introduced in the Lok Sabha during the Winter Session of the Parliament, and is rumoured to undergo the Centre’s decision to ban all private cryptocurrencies in India.

However, the finance minister did away with all such rumours yesterday in Rajya Sabha, and informed that the government will launch the new crypto bill sooner than expected. It will be introduced as soon as the Cabinet passes it. She further revealed that the previous bill has been reworked, state reports.

She also clarified that the government has not yet taken any final decision on banning advertisements by crypto exchanges.

However, at the same time, the finance minister has also warned investors to invest carefully in these digital currencies, given its high volatility, and detrimental monetary effects.

The Government has started an awareness campaign to alert people but ‘I agree more can be done to sensitize the public’, adds Sitharaman. Risk that cryptocurrencies can lead to undesirable activities is being closely monitored. It is being discussed at various levels.

Replying to the Lok Sabha on the first day of the Winter session on Nov 29, Finance Minister Nirmala Sitharaman said that the government has no proposal to recognise Bitcoin as a currency in the country.

When asked about whether the government is aware of the ongoing transactions and volumes of bitcoin across the world and India, FM clarified in the Lok Sabha that the government does not collect data on Bitcoin transactions.

Further, in response to whether the government has any proposal to recognise Bitcoin as a currency in the country, the minister responded by saying, ‘No Sir’.

According to several reports, the government might consider bringing an official digital currency, which is to be issued by the RBI.