June 29, 2022

Cryptocurrency Ban Latest News (2020)- Countries (India, China)

Cryptocurrency Ban Latest News (2020)- Countries (India, China)

Cryptocurrency Ban: India plans to introduce new legislation that prohibits trafficking cryptocurrencies. Puts it out of step with other Asian countries that have chosen to regulate the fledgling market.

The federal government will encourage blockchain, which cryptocurrencies underlying technology. But is not keen on trading cryptocurrency, according to two people. Indian finance ministry spokesman did not respond to calls and messages seeking comment.

Cryptocurrency Ban Countries

India’s central bank had in 2018 banned the crypto after a series of fraudulent transactions in the month. Following the sudden decision of Prime Minister Narendra Mod to ban 80% of the country’s currency. Cryptocurrency exchange responded with a lawsuit in the Supreme Court in September and won a tough March 2020 for .

The victory in court is asked almost 450% surge in trading in just two months since March. According to TechSci Research, reviving fears that more Indian savings amid risk losing their jobs. And the economic slowdown exacerbated by the pandemic coronavirus. Bitcoin Paxful market reported a growth of 883% between January to May 2020. From approximately $ 2.2 million to $ 22.1 million. WazirX, a crypto exchanger by Mumbai grew 400% in March 2020. And 270% in April 2020 on a month to month basis, according to TechSci.

 

Arranged Trades

India’s decision will be very important as more Asian countries weigh the pros and cons of virtual currency. Rival China, which prohibits the initial coin deals and virtual currency in 2017, recently allowed the trade of virtual Bitcoin as property, not as fiat money. It also plans the central bank’s own digital currency. Singapore and South Korea trade set crypto.

India’s federal government think tank, Niti Aayog, is exploring the possibility of using blockchains – a common structure to keep records of transactions or block some network databases – to manage land records, the supply chain of pharmaceutical drugs, or educational certificate records. And while it is planning a virtual currency, the government rejected the idea of ​​trading cryptocurrency.

New trade restrictions

This may affect the trading of more than 1.7 million Indians in the digital asset and the growing number of companies set up a platform for trade, the data show.

It also will affect companies such as Singapore-based CoinSwitch, which added 200,000 users after starting operations to India in June and reported a volume of about $ 200-300 million, according to CEO Ashish Singhal. About half the arm of the Sequoia-backed company is local CoinSwitch Kuber, a platform that allows the purchase of virtual currency in Indian rupee, aged less than 25 years.

Singal said the state-owned banks are reluctant to work with the company given the regulatory uncertainty. And because there is no legal recourse, there is a risk fascinating “fly-by-night, a negative player trying to fool” investors, he said.

Instead of a ban, India needs a regulatory framework to protect retail consumers uninformed “to ensure adequate supervision of the government and RBI over cryptocurrency business,” said Sanjay Khan, Partner, Khaitan & Co, New Delhi-based lawyer who advises companies. “India could benefit from these regulations to attract investors and business cryptocurrency.”

Cryptocurrency Ban in China

Prohibition beginning Coin Offering

The practice of raising funds by offering early coins (ICOS) is completely banned in China. On September 4, 2017, seven Chinese regulators-the central government People’s Bank of China (PBOC). The Cyberspace Administration of China (CAC), the Ministry of Industry and Information Technology (MIIT). The State Administration for Industry and Commerce (SAIC), the Regulatory Commission China (CBRC). China Securities Regulatory Commission (CSRC) and the China Insurance Regulatory Commission (CIRC) issued Announcement -jointly. Prevent financial risks of early Coin offer (ICO Rules) for the purpose of investor protection and the prevention of financial risks.

Under the Rules of the ICO, ICOS that rise like Bitcoin and Ethereum cryptocurrencies through irregular sales and circulation token basically involved in financing the public without official authorization, which is illegal.

Restrictions Cryptocurrency Trading Platform

ICO Rules also impose restrictions on key business cryptocurrency trading platform. Or provides other related agencies. Government authorities may close sites and mobile applications platform that fails to comply, remove applications from the app store or even suspend the business license platform.

Following the issuance of the ICO on September 4, 2017, the senior executives of the cryptocurrency trading platform in China have reportedly called for a “chat” by the regulator. On September 15, 2017, for example, the Internet Financial Risk Working Group Beijing summoned senior executives from the cryptocurrency trading platform in Beijing. The platform reportedly ordered to immediately stop registration of new clients and the announced deadline by which time the platform will stop all traded cryptocurrency. As a result, the cryptocurrency trading platform essentially shut down its trading business in China. More recently, in February 2018, the South China Morning Post reported that China plans to block websites related to trade cryptocurrency and ICOS, including foreign platforms, in an attempt to completely eradicate cryptocurrency trade.

Cryptocurrency Bank

Still Block Bank Account Activity During Crypto: Payment Paytm Bank, which describes itself as India’s largest digital bank. With more than 58 million account holders, “is reported to have blocked the accounts of customers suspected of trading cryptocurrencies. Paytm commerce platform is India’s largest mobile with approximately 450 million registered users. The brand is owned by One97 Communications Ltd, founded by Vijay Shekhar Sharma.

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