Indian crypto space and the blockchain industry are currently facing challenges from the bureaucracy. The issue is simple which is that the bureaucracy has failed to understand the true purpose and meaning of innovation, claimed blockchain industry.
New regulations for monitoring and supervising digital currency trade have been prepared by the Indian Government. However, the regulations haven’t been finalized yet and are subject to approval from the Indian Parliament Houses. The matter is expected to be brought before the parliamentary discussion in the forthcoming budget session. Along with the budget discussion, digital currency law will be either passed or rejected. But the possibility of rejecting the law is almost to none, as per the understanding of crypto community members.
Indian Government, when it was preparing the proposed law, told publicly that they were going to ban crypto trading exclusively. This ignited a wildfire within the Indian crypto space and they started to question government policy. However, after that statement, the Indian Government took an entirely different approach towards its ambitions. In fact, it refuted the banning of crypto trading on several occasions through publicly famous public officials.
For instance, Indian Federal Minister, Nirmala, as well as State Minister, Anurag Thakur, both came in public and denied crypto banning. While the Federal Minister said that the Government is in favor of innovation and therefore would not take any step to the contrary. Meanwhile, State Minister Thakur told the public two days ago that the regulations are going to be in the public interest. He also stated that neither there is any ban nor the Government has concealed anything from the public. In fact, the proposed law would ensure public safety in terms of their money and investment, said Thakur.
Similarly, the head of the Indian central bank’s comments further disheartened the Indian blockchain industry. He stated that the current economic crisis is caused due to two factors namely Covid and crypto trading. He also advocated against crypto trading and insisted on banning it completely.
Now the Indian major crypto player iSPIRIT has been supporting an idea that has been put up by Balaji Srinivasan.
Srinivasan was once the CTO at the world’s biggest crypto exchange of the US, Binance. He has told publicly that he has an idea that can turn every Indian mobile into a full-fledge account of a bank.
Indian crypto industry has grown fears that unless a digital asset is backed by the Indian central bank, there won’t be any room for crypto. But through Srinivasan’s idea, a mobile can be used to trade in native currency, fiat as well as any crypto coin. The idea is further backed by iSPIRIT which has said that it can immediately bring investment in India. As per reports, iSPIRIT has said that US$ 250 Billion investment can be brought instantly when required.
This could bring a change in the Indian Government’s perspective as well. However, so far no Government comments have been seen regarding Srinivasan’s idea.
