Cryptocurrency Winter Session Bill Review | What Will This Bill Do
Prices of Cryptocurrencies were immediately plummed, just after news of the winter session bill came out in the market. Which seeks the ban on all private cryptocurrencies in India. When the news came out in the market we all witnessed a sharp fall in the prices of all the major cryptocurrencies are getting traded in India such as bitcoin, Etherum, Cardano dogecoin, etc. What is the reason that govt is behind this cryptocurrency ban in India?
People are clearly seen over the internet showing their rage through the words they're putting. People are calling India Stoneage country and called Indian laws system bullshit. People are not able to understand the bill. That is what causes the most panic. We will be explaining clearly what is this bill about?
What is this bill?
Let us clear one point here is that, this bill's main motive is not to put a ban on cryptocurrency, instead this bill is to put regulation on cryptocurrencies. When this bill will be discussed in the parliament, the discussion will be over the ban on private cryptocurrencies in India. However, it gives people an exception here it allows promoting the underlying technology of Cryptocurrency and its uses. RBI will be launching its own digital currency.
What might be the cause behind this ban?
The Major Cause of the ban on crypto is terror funding. Terror funding with crypto is very easy and it is actually a sign of agonizing. No country would want that. This might be the reason that govt is planning to ban all private Cryptocurrencies.
One study clearly shows the cryptocurrency will be underlying the monetary policies and the economy of a country.
One of the main reasons behind the ban on cryptocurrency ban is evading tax. It is very easy to hide your actual income assets from govt in cryptocurrency. This causes less revenue and money laundering, This is the reason that govt is seeing all the aspects of cryptocurrency and planning to ban private cryptocurrency.
Recently, it has come into the limelight that higher returns were always linked to cryptocurrency. Many celebrities were promoting crypto stating that you will get a higher return. Which somehow is misleading.
There could be other reasons as well, we are trying to explain a few of them which we think might be the reason. We could be wrong too.
Govt has clearly stated that they are not strictly against cryptocurrency. Even RBI will be launching its own digital currency and our finance minister Nirmala Sitharaman has also said that they will explore blockchain technology. So the main motive of this bill is to work on the framework to launch new digital currency and keep regulation on the digital currency.
Investors need to understand this bill. There is nothing wrong with the bill so we would request the investor there is nothing to panic about, Just sit back and have faith in the Indian system.
A fact about India is, India has more than 10 crores, cryptocurrency holders. Which is more than the U.S. This makes India the most active nation in the cryptocurrency world. This was the reason as the news came out. Immediately prices were slashed of currencies.