A well-known Indian Warren Buffett billionaire investor, Rakesh Junjhunwala, has voiced support for India’s impending cryptocurrency ban, warning that the hangover of Bitcoin (BTC) craze will be worse than the party itself.
Junjhunwala, speaking on CNBC’s Street Signs Asia segment on Tuesday, said he prefers not to attend the bitcoin party:
I think this is speculation from the highest levels. I don’t want to go to all the parties in town. I think the hangover is much worse. ”
The hangover headache became known on Tuesday, when the global market value of the cryptocurrency left close to $ 400 billion. Bitcoin lost nearly 20% of its value in hours, while most of the altcoin market suffered losses of over 30%.
Whether this means that the bullish Bitcoin party is over for now, or whether investors will revert to the fur of the dog that bit them, remains to be seen.
In any case, Junjhunwala is keen to see Indian regulators put a stamp on the ban on bitcoin and other cryptocurrencies, and believes that the country should focus on creating its central bank’s digital currency, the digital rupee.
“I think the regulators should ban Bitcoin and focus on the digital rupee,” Junjhunwala said.
In mid-February, there was news of an imminent curfew by the Indian government of all cryptocurrencies, with their holders expected to have a grace period of three to six months for crypto payments.
Not everyone is as excited as Junjunwala to see the crypto ban in India. Balaji Srinivasan, a former CTO at Coinbase, has raised concerns about the ban, saying such a move would be an internet blocking.
Other countries have already moved to ban the distribution of cryptocurrencies. Recently the Bank of Nigeria issued a directive to all commercial banks asking them to stop doing business with cryptocurrency exchanges. This is despite, or perhaps due to, the fact that Nigeria is one of the busiest hubs on earth for using Bitcoin – so much so that Nigerian officials have described it as a threat to its national currency.