In a recent meeting in India, which has hosted the news that crypto currency bans will be implemented recently, a consensus was reached that cryptocurrencies will not be stopped, but should be regulated.
There is currently no ban or regulation in the country, but the government may be about to introduce a bill to Parliament that would ban all private cryptocurrencies with some exceptions.
Raghuram Rajan, Former Governor of the Reserve Bank of India (RBI), who came to the agenda with a new statement during this period, stated that only a handful of 6,000-odd cryptocurrencies could survive going forward.
Comparing the current situation of the crypto money market to the tulip mania in the Netherlands in the 17th century, Rajan stated that people hold cryptocurrencies as a store of value and an asset that can be appreciated.
Stating that most cryptocurrencies are unlikely to survive with high values going forward, Rajan also stated that cryptocurrencies may have the same problem with irregular chit funds that take money from people and go bankrupt.
On the other hand, “Regulation of Cryptocurrency and Official Digital Currency Bill”, which will be introduced in the winter session of Parliament from 29 November, aims to create a facilitating framework for the creation of the official digital currency to be issued by the Reserve Bank of India.
The bill also aims to ban all private cryptocurrencies in the country. However, the bill is expected to be created to allow certain exceptions to encourage the underlying technology and use of cryptocurrencies.