Proposed ban on pvt cryptocurrencies 'backward looking', say experts
The ban proposed by an inter-ministerial on private cryptocurrencies is backward looking and a setback for companies mulling to launch their own virtual currencies on the lines of Bitcoin, said experts on Tuesday.
The panel headed by Economic Affairs Secretary S C Garg, in its report made public Monday, recommended banning of private cryptocurrencies and criminalising any activities related to virtual currencies.
It, however, pitched for introduction of an official digital currency with a status of a legal tender and appropriately regulated by the Reserve Bank of India.
«...the proposal by a government panel to ban crypto is backward looking. Bans don't serve much purpose and only drive users to try and circumvent the law. Bans also hamper productive innovation and risk leaving the country behind if crypto indeed evolves to become a bigger part of the financial system over time,» said Gaurav Jalan Founder & CEO, mPokket.
Prashant Phillip, Partner, Lakshmikumaran & Sridharan ...