Indian Exchanges Launch Campaign Seeking to Avert Potential Crypto Ban

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The Indian cryptocurrency exchange has launched a joint initiative to convince parliament to regulate cryptocurrencies instead of imposing an outright ban.

As part of the # IndiaWantsBitcoin campaign, the exchanges launched websites – indiawantscrypto.net and indiawantsbitcoin.org – to help Indian citizens email their representatives in Loksabha (the lower house of parliament) to positive and gradual regulation of the crypto markets to ask.

The campaign was launched in response to the government’s plan to submit the “Cryptocurrency and Regulation of the Official Digital Currency Law 2021,” which would potentially lead to the development of a digital rupee while banning “private cryptocurrencies”. While it is not clear what exactly the bill means for cryptocurrencies like Bitcoin and Ether, the industry has concerns.

The campaign is shared on social media. Supporters tag friends and encourage them to do their part.

“Within a day, over 10,000 emails were sent via indiawantscrypto.net from all over the country,” Nischal Shetty, CEO of Binance’s WazirX exchange, told CoinDesk. “It is a critical moment and all eyes are on India to see if we are for or against innovation.”

The five email templates available on both websites highlight the positive role that cryptocurrencies can play in helping Prime Minister Narendra Modi achieve his goal of a “digital India” and “atmanirbhar bharat” (independent India) to reach.

“I am concerned that the ban on private cryptocurrencies could slow the growth of Digital India. Given that the world includes cryptocurrencies, it would be regressive for India not to take advantage of this once-in-a-lifetime opportunity, ”an email template said.

Another says a potential ban would seriously affect the ecosystem. It includes 10 to 20 million cryptocurrency users, 340 startups offering related services and directly employing 50,000 Indians.

The Indian crypto industry has seen solid growth since the Supreme Court lifted the Reserve Bank of India’s ban on cryptocurrency companies in March 2020.

“According to the latest data from Venture Intelligence, investments of a whopping $ 24 million were made in various crypto firms from India in 2020,” Sumit Gupta, CEO of the Mumbai-based CoinDCX exchange, told CoinDesk.

In this respect, a potential ban can lead to significant economic damage for the second most populous country in the world and have a negative impact on the cryptocurrency markets.

However, an Indian minister recently hinted that a ban may be curtailed and stated that the government wants to curb illegal cryptocurrency transactions and ban their use for payments.