India’s New Bill Proposes Imprisonment For Using Cryptocurrency

The government of India is considering a draft law which proposes 10-year imprisonment for anyone trading, mining, or holding cryptocurrencies.

A cryptocurrency is a virtual or digital currency which uses cryptography as a mean of security and is based on blockchain technology. At the moment, bitcoin is the world's most popular cryptocurrency.

The new bill is called “Banning of Cryptocurrency and Regulation of Official Digital Currency Bill 2019.” If this bill is passed, it would make bailing out of prison impossible for anyone who got arrested for an offense related to cryptocurrency.

It is a stern measure from the Indian Government to deal with the technology that is often exploited for money laundering as well as other financial crime.

Indian government officials have reportedly been working on this bill for a period of time and Subhash Chandra Garg, the Economic Affairs Security, will be leading the exercise. In the meantime, many government organizations dealing with taxes have called for a crypto ban.

However, not until they take counsel from the Reserve Bank of India, will the government make its final decision on this matter.

The bill is the government’s nuclear approach to dealing with the crypto regulation problem.

But it is not surprising considering India has planned on launching its own digital currency. So, an open market of cryptocurrencies would create competition.