India is not averse to banning things that they see could be considered a danger and cryptocurrency is one where they have decided that they need to be rather progressive as they try to outlaw it within the country. The Reserve Bank of India (RBI) has already decided to announce that they were considering banning the use of cryptocurrency outright, which has already seen a dip in the price in Bitcoin and Ethereum, as well as many others, start to dip within local markets.
This has also had a slight impact on the global outlook of their prices, as well, as they have started to trend downwards. Many within the crypto sphere do not believe that India’s decision will have a major role on the global prices to a devastating effect that perhaps China had previously had, however it is suggested that there will be many who will keep an eye on what does happen as the market can be entirely unpredictable at the best of times.
2019 recommendation saw Bitcoin soar
It has been a couple of years coming, however a ban on cryptocurrency in India is something that has been a possibility that will not have come as a surprise to many. Back in 2019, the SC Garg Committee had recommended that the Government should not allow private virtual currencies in the country. The committee had recommended that a blanket ban be placed on all cryptocurrencies, but they even advised that the Government criminalise all activity that is connected.
However, whilst the latest news will probably have some concerns about what the future may hold for them and their assets, there is history to suggest that the price will not be impacted too much and could actually continue to thrive. Since the 2019 recommendation, it has been claimed by various estimates that around 15 million Indians are thought to have invested in private crypto assets. Over the last year from April 2020 to May 2021, it is understood that the value of crypto investments within India grew from $923 million to a figure of almost $6.6 billion.
India’s Crypto gambling could come under-fire
Of course, the government has not always been not very friendly regarding crypto gambling within the country; now many Indian bettors use www.winz.io crypto casino to play casino games using Bitcoin as it is more reliable than the native fiat currencies that can be used. This is because of the continuous battle that the Indian Rupee continues to go through in regards to the inflation issues that are being suffered.
Stable Coins are being introduced
Although traditional cryptocurrencies could be potentially banned, it would seem that there are contingency plans in place that will allow users to still benefit. Stable coins are on the verge of being introduced and distributed and these coins will be priced at the exact same value as the fiat currency and are backed by the currency that they represent.
However, one major benefit to them is that they are much less volatile compared to Bitcoin and other digital currencies. The main advantage of stable coins is that they have the same strengths as a virtual currency, as they are designed in the same way which will then allow for users to have the ability to trade money anywhere around the world in a cheap and secure manner.