New Delhi: The government of India can ban all private cryptocurrencies. It can also regulate it instead of a blanket ban. The cryptocurrency bill which is to be tabled in the winter session of the parliament has created a furor and quite justifiably so. It will affect a large number of Indians.
Zee News Anchor Sachin Arora on Wednesday (November 24) discussed the impact and significance the cryptocurrency bill could have on the investors and the Crypto Exchanges.
The government has not yet formally clarified what there will be in the new bill. Whatever decision it takes, will affect the about 10 crore people of India who have invested their money in some or the other cryptocurrency. Assuming on average there are four to five members in a family, this bill will directly and indirectly affect 40 crore Indians.
According to reports, Indians have invested about Rs 70,000 crore in cryptocurrency. However, some Crypto Exchanges claim that the amount could be to the tune of Rs 6 lakh crore rupees. If this is true, it would mean that 3 percent of India's total GDP and 17 percent of India's annual budget have been invested in cryptocurrencies.
India is the largest market of cryptocurrencies in the world and more people have invested in it in the last 2 years than in the stock market. On the basis of such a large number of investors, Crypto Exchanges are flourishing. While some Exchange owners believe that the government will not ban cryptocurrencies, others have advised the investors to be patient.
At present, there are about 10 major Crypto Exchanges in India, through which people buy or sell cryptocurrencies. In return, these exchanges charge nominal fees from investors.
Crypto investors may not be able to become millionaires overnight, but people who started Crypto Exchanges have definitely become millionaires in the last two to three years. There are many Crypto Exchanges operating in India such as Wazir X, Coin Base, Coin Switch and Coin DCX.
In 2018, the Reserve Bank of India had banned cryptocurrencies in India, but it was removed by the Supreme Court in 2020. After this, crores of investors have invested their money into it and the people running Exchanges became millionaires.
At this point, it is hard to predict what is going to be the future of crypto in India. It will become clear only after the government introduces the bill in the parliament.