India is the first democratic country to ban cryptocurrency. The crypto industry cautions India about the bitcoin ban.
The nation is experiencing the first indication of the anticipated mass exodus as the state enforces powerful legislation criminalizing domestic investment in cryptocurrency.
As suggested, a complete ban is presently still in the form of draft legislation. The Economic Times report took the measure of industry sentiment on the pitch and awaits its official review by lawmakers.
A 10-year jail term for anyone who “mines, generates, holds, sells, transfers, disposes of, issues or deals with cryptocurrency,” has been proposed through The Prohibition of Cryptocurrency and Official Digital Currency Regulation Bill 2019.
The intensity of the penalty proposed and the extreme position is shown in the document as to what form it will eventually become national law, as it has already prompted local crypto companies to take preventive measures to protect themselves.
Rahul Jain, a Bitbns employee, told the Economic Times:
“As a startup from India, we always wanted to serve from India, but this recent complication has made it difficult for domestic crypto exchanges to operate their businesses in India. So, we are now an Estonia-based company, and any Indian law to criminalize crypto will not impact us.”
Meanwhile, Nischal Shetty, CEO and founder of the well-known WazirX Indian exchange, stated that the suggested bill would undermine the wealth of more than five million Indians who own “crypto-assets worth thousands of crores.”
Sidharth Sogani CEO of the crypto and blockchain company, Crebaco Global Inc., has predicted that if cryptocurrency is eventually banned in the nation, India will lose around $12.9 billion, out of a $10 trillion industry.