Will India Ban Crypto? Ajeet Khurana Says It's Unlikely

Wilfred Michael 

Wilfred Michael

News reporter

09 May 2019,
20:41
Will India Ban Crypto? Ajeet Khurana Says It's Unlikely

Ajeet Khurana, founder of ZebPay, an Indian cryptocurrency exchange that left for abroad following government oppression on the new industry has moved to quash reports that the country will finally ban the use of cryptocurrencies.

In a recent interview with Australian crypto news outlet, Micky.au, Khurana suggested that the reports about India banning cryptocurrencies are overhyped and the real scenario is not as bad as many think.

He confirmed that throughout the past year, he had held talks with top stakeholders in the Indian Ministry of Finance, the central bank, and the national securities regulators.

It is based on feedback from these agencies that Khurana told Micky,

“Despite them (the regulators) having a certain amount misgiving around crypto, I have never heard them talk of banning it. So it’s very interesting that the people who could ban it, have never said they will ban it.”

Khurana’s comments no doubt calm fears of an outright ban on crypto usage in India with earlier reports alleging that several government agencies have already given a seal of approval to a bill proposing the ban.

Meanwhile, the Indian cryptocurrency ecosystem remains in limbo. Local banks are not allowed to offer services to exchanges and even force customers to vow never to use crypto before they can access banking services. Crypto startups were excluded from a regulatory sandbox targeting fintech firms on the ground they are building solutions around a niche banned by the country.

An earlier order from the Supreme court asking the government to provide a guideline from cryptocurrencies within four-weeks have gone unanswered before the latest reports about an official ban.

The months ahead will likely tell what stance the Indian government will adopt on cryptocurrency, but as it stands, the decision still hangs in the balance and could be for or against the new industry.

 

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