Indian Central Bank Denies Knowledge Of Proposed Crypto Ban Bill

Indian Central bank denied the allegations of the proposed crypto ban bill that would make the use and ownership of crypto in the country entirely illegal. The reports that we have in our coming altcoin news, give us a broader picture of the issue.

According to the reports that surfaced last week, the Indian lawmakers are working on legislation that could impose a 10-year prison sentence for anyone that is caught holding, using or owning cryptocurrency.

During the research, the Indian Central Bank responded to a Right to Information request that was initially filed on June 4 by a blockchain-specialized lawyer. The bank noted that it was not communicating with the governmental agencies during the entire process and it didn’t even receive a copy of the bill. The regulating of Bitcoin and blockchain in India has been going on and off over the past period with multiple threats of bans being introduced by government initiatives as well as the regulatory sandbox from the RBI itself.

Although the Indian Central Bank denied the knowledge of the crypto bill ban, it did not necessitate that the reports are false. However, it is worth mentioning that the high level of participation from the bank itself in previous crypto matters. The bill outlines this harsh punishment for anyone involved in any way with cryptocurrencies. The Banning of Cryptocurrency and Regulation of Official Digital Currency Bill noted that the offenders will be sentenced with a non-bailable sentence as mentioned previously in the latest cryptocurrency news.

The bill also noted that the degree of punishment will be appropriate to the portfolio of the user. The harsh nature of the bill continues to state that the fines are decided by the courts which also state that they will be three times as much harsh as the profit that the person made from crypto in the first place:

 “The penalty imposed on the accused, according to the bill, shall be either thrice the loss caused to the system, or three-fold the gains made by him/her, whichever is higher. If the loss or gain can’t be reasonably determined, the maximum fine that can be imposed may be notified by the government.’’