The government is not bringing a bill on cryptocurrency in the winter session. Top sources said so on Wednesday.
The government also suggested in the Parliament session that whenever a bill is brought, it will be sent to the Parliamentary Standing Committee after extensive consultations with the experts. After that the bill will be introduced.
The bill, which was listed in the legislative session of the government’s winter session, will come after the Reserve Bank of India (RBI) lays out a facilitating framework regarding the official digital currency.
This bill will ban all private cryptocurrencies in the country. However, the technology of cryptocurrency will be promoted. According to the bill listed on the Lok Sabha website, it is unlikely that the bill will be brought in the current winter session. Currently, there is no regulation or any restriction on the use of cryptocurrency in the country.
Prime Minister Narendra Modi had a meeting with top officials last month on the use of cryptocurrency. Then there are indications that stronger regulatory measures may be taken to deal with the issue.
In recent times, there has been an increase in the number of advertisements promising easy and high returns on investment in cryptocurrencies, even featuring movie stars. Concerns about such virtual currencies are being used to lure investors with misleading claims.
The Parliamentary Standing Committee on Finance headed by BJP member Jayant Sinha also met representatives of the Crypto Exchanges, Blockchain and Crypto Assets Council (BACC) and came to the conclusion that cryptocurrencies should not be banned but should be regulated. RBI has repeatedly reiterated its views against cryptocurrencies.
It has called for a complete ban on the number of investors trading them and their claimed market value, saying they pose a serious threat to the country’s macroeconomic and financial stability. .
RBI Governor Shaktikanta Das also earlier this month opposed allowing cryptocurrencies, saying they pose a serious threat to any financial system as they are not under the control of central banks.
