Indian authorities to completely ban cryptocurrencies. Plans to develop and popularize own official digital currency - Kakiforex.com - Financial Market Media No. 1 in the World Indian authorities to completely ban cryptocurrencies. Plans to develop and popularize own official digital currency Indian authorities to completely ban cryptocurrencies. Plans to develop and popularize own official digital currency
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March 16, 2021

Indian authorities to completely ban cryptocurrencies. Plans to develop and popularize own official digital currency

 We have repeatedly written that bitcoin, like all other cryptocurrencies, is a "bone in the throat" of the government of almost any state. It is also worth noting that a huge number of different digital currencies exist and existed in the world before Bitcoin, which were simply built on other technologies and were, as they say, "pocket". For example, there are games with millions of users who use the internal currency to buy certain items and things. This currency can just as easily be sold or exchanged for real dollars, but it is not as popular and well-known as some cryptocurrencies are now. However, the cryptocurrency segment has taken over the whole world, and now at every home, grandmothers are discussing bitcoin on a bench. Since bitcoin is a decentralized anonymous system, it is impossible to track transactions within it, or at least quite difficult. Consequently, the authorities can not track who, to whom, where and how much money was transferred, as well as for what services and goods.


Naturally, this does not suit the government, which is used to controlling all cash flows. As it turns out, in this system, it is impossible to track the payment of criminal transactions like tax evasion and money laundering. Accordingly, the authorities of many countries seek to either impose taxes on the cryptocurrency segment to receive at least revenue from it to the budget or completely ban mining and transactions with cryptocurrencies. Such a decision, for example, was taken by the Indian authorities. The official law has not yet been adopted, but many high-ranking officials of this country have shared information that cryptocurrencies will soon be completely banned, and all holders will be given a certain time to transfer their digital assets to others. According to officials, the purpose of this bill is to create an official digital currency in the country, which will be controlled by the Central Bank of India and provided by it.


The Indian government also said that the bill is based on the experience of its neighbors from China, where cryptocurrencies were also almost completely banned. The Indian cryptocurrency business has already announced its intention to leave the country if this bill is passed. It should be noted that such actions of governments will reduce the popularity of bitcoin in the world. However, as long as it is allowed in the European Union and the United States, a serious drop in value based on this factor is clearly not worth waiting for. All crypto investors, especially large ones, will not find it difficult to open and store bitcoins outside of India or China, especially since some banks and payment systems already provide such opportunities.