- There are reports that India may fast track its bill to ban the use of Bitcoin and other private cryptos
- The bill may go the ‘ordinance route’, which could allow it to be passed into law quickly
- The PMO, Finance Ministry, and Cabinet Secretariat have started preparing the draft details of the ordinance.
After a new cryptocurrency bill appeared on the scene in India’s legislative system last week, the bill is apparently on a ‘fast track’ to be considered for passage into law.
India’s Proposed Ban On Cryptos
The bill titled “Cryptocurrency and Regulation of Official Digital Currency Bill 2021” the most discussed issue among crypto users in India. The bill could ban ‘private cryptocurrencies’ and start the development process of a ‘digital rupee’.
India to Fast Track Bill
CNBC-TV18 reported on Friday that the government of India may take the ordinance route to pass the Cryptocurrency and Regulation of Official Digital Currency Bill. The ordinance is similar to an executive order in the United States.
If used, the ordinance route will hasten the legislation process involved in passing the bill. It means the bill will be put into effect by the president of India at the recommendation of the Union Cabinet. However, ordinances can only be issued when the Indian Parliament is not in session.
According to reporter, Timsy Jaipuria;
he PMO, Finance Ministry, and Cabinet Secretariat have started preparing the draft details of the ordinance. The government is of the firm view that they want to introduce the law within a month of clearance of the ordinance.
The Inconspicuous Bill
The bill which seeks to ban the use of Cryptos is still very inconspicuous. According to Bitcoin.com, very little is known about the bill’s contents because it has not been made public yet. However, reports have said that if passed into law, the bill could have a highly restrictive effect on the crypto industry in India.
On the Flipside
- A new Kentucky bill seeks to Lure Crypto Miners With Tax Breaks
- Two Kentucky lawmakers have called upon the commonwealth to offer tax breaks to cryptocurrency miners seeking to tap into the energy-rich region
- General Assembly Representatives Steven Rudy and Chris Freeland’s bill would exempt “commercial cryptocurrency miners” from paying 6% sales taxes or 6% excise taxes on their rigs’ electric bill
Nischal Shetty, Founder of the WazirX exchange and crypto activist has been encouraging members of India’s crypto community on Twitter to contact their MPs about the bill every day since it appeared. Moreover, Nischal has been at the forefront of the #IndiaWantsBitcoin campaign for 831 days.
Dr. Garrick Hileman, the Head of Research at Blockchain.com stated that
My hope is that Indian policymakers will recognize how counterproductive this legislation is and withdraw it. Such bans have been contemplated in the past in India, and even attempted in various other countries. Proposed bans have typically either been scuttled before implementation or largely unenforced.
India faces a critical time, and if the bill is passed, it could significantly hamper not just the crypto industry, but Innovation in India. Currently, the future of the bill is unclear, many in the industry are hoping that it will not be passed into law.