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India crypto bill which was proposed a few days ago by the lawmakers in the country proposes that a bitcoin ownership should be made completely illegal and up to 10 years in prison for everyone that is caught holding the asset. This devastating information came to our latest cryptocurrency news and now we discuss what to do about it.

This decision is a direct contradiction to the plans of the country to launch its own state-backed cryptocurrency-the digital Rupee. As per banning cryptocurrency or bitcoin, everyone that will be involved in the bitcoin ecosystem will face criminal punishment. The bill proposes a 10-year prison sentence for everyone who tries to ‘’ mine, generate, hold, sell, transfer, dispose of, issue or deal in cryptocurrencies, directly or indirectly.’’

The new India crypto bill proposes that everyone caught committing a crime by storing bitcoin will be a subject to non-bailable sentence according to the draft bill which also states that the punishment will fit the crime and use the persons’ profits against them. The bill goes on to outline that the courts will use the following criteria when they start handing out sentences:

Culpability of the accused, actual and intended gain made and caused loss, harm caused to the system and repetitive nature of the offense.

What is worse, the fines given out by the courts will be three times higher from the profit that the person made in the first place. According to reports:

 “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.”

According to the coming altcoin news from India, anyone that possesses Bitcoin or other cryptocurrencies would have to declare it first and then dispose it within 90 days. The bill proposes amending the Prevention of Money Laundering Act of 2002 to include blockchain related services. The government and its plan to issue a state-backed cryptocurrency will not go under the same laws as Ethereum, Bitcoin and the rest of the cryptocurrencies.

Also, the central government will be consulting the Reserve Bank of India regarding the plans of issuing the Digital rupee.