India’s Government plans to take down the cryptocurrency law, a report revealed that the finance ministry is now inviting other ministries to discuss the cryptocurrency law that was imposed just a year ago.
The government is considering a legal framework as more effective than a circular from India’s central bank in this regard. The April 2018 circular from RBI(Reserve bank of India) prevented local banks from providing services to individuals and companies dealing with any cryptocurrencies.
In earlier July of 2019, a high-level panel from the government prepared a draft that proposed a complete ban on the use of cryptocurrencies in India. The draft had also proposed imprisonment of up to 10 years or fine up to $3.2 million anyone dealing with cryptocurrencies.
In March 2020, the supreme court of India overturned the banking ban on cryptocurrencies imposed by the Central Bank as unconstitutional and allowed all banks in the country to provide banking services to crypto firms.
“Encouraging a fast-growing industry is in India’s best interest Banning is not a solution, and I don’t believe India will go for a sub-optimal solution here,” said Nischal Shetty, chief executive officer of WazirX.
Nischal Shetty also added that “India has been progressing in the right direction when it comes to technology. I’m optimistic that we’ll follow the footsteps of developed countries that have accepted crypto and introduce positive regulations,”
The Legal status of cryptocurrencies in India still remains miles away from the settlement. The country is a good example of nations across the globe that are struggling to create a proper guideline for cryptocurrencies.