The creator of India’s cryptocurrency law, former Finance Minister Subhash Garg, dismissed the idea of banning “private cryptocurrencies” as a misinterpretation, while highlighting the enormous potential of cryptocurrencies and blockchain technology.
Parliamentary debates over the controversial cryptocurrency bill have raised concerns over the cryptocurrency ban, with no clear indication of the extent of the ban. As Cointelegraph reported, the announcement was followed by an episode of panic selling among Indian investors. In an interview with local news channel News 18, Garg explained:
Perhaps [crypto account description] was a mistake. It is incorrect to say that private cryptocurrencies will be banned and the authorities will be informed about it. ”
He believes that the Indian government should develop a bill after discussing it with stakeholders and cryptocurrency investors. In addition, the bill proposes to ban private cryptocurrencies without specifying the meaning of the word “private”.
As a result, the cryptocurrency community in India has interpreted two different versions of the bill’s agenda, one examining the ban on all non-government cryptocurrencies, and the other excluding cryptocurrencies running on public blockchains such as Bitcoin (BTC) and Ethereum (ETH). ).
Garg also pointed out a mistake in classifying cryptocurrencies as assets after highlighting the vast ecosystem supported by revolutionary technologies. He also said that cryptocurrency exchanges have limited interests and do not represent the whole of society:
“You don’t classify the wheat or clothing you produce as assets. It is too simplistic to consider this as a resource. ”
In a closing note, Garg added that CBDC initiatives, especially in countries like India, are complex. According to him, the government must first of all solve problems, including the unavailability of smartphones and the release of digital wallets.
Related Topics: Singapore Crypto Exchange Enters India Amid Regulatory Uncertainty
The Indian cryptocurrency market continues to attract international companies, including Coinstore, a Singapore-based cryptocurrency exchange. According to Cointelegraph, Coinstore has committed $ 20 million to open three new offices in the region.
Speaking with Cointelegraph, a Coinstore spokesman hoped to develop a positive regulatory framework for cryptocurrency:
“The strict KYC process, security requirements for exchanges, and the gradual regulation of some cryptocurrencies naturally protect Indian users and clarify the legality of some cryptocurrencies.”