India is not taking action to ban cryptocurrencies, but rather treat cryptocurrencies as commodities. The unidentified source in the Indian government opened the news.
According to the source, the finance ministry committee has ordered a study on cryptocurrencies. Which may suggest that the Indian government would treat them as commodities. A senior government official with knowledge of the panel’s discussion says that they have a suspicion the government intentions to ban cryptocurrencies.
They say: “where the money is coming from. is it legal?”
added that: “agreeing 434to it as a commodity may let us better control trade and so that is being looked at”
The committee is concerned about the tracking investors and funds in order to fight money laundering and unlawful financing.
Bank of India (RBI) deputy governor R Gandhi disclosed that treating cryptocurrencies as commodities would clearly show to investors that crypto is not actual currency.
The Bank of India (RBI) promulgate that it will no longer grant services to any person or company that deals with cryptocurrencies. Although, the bank says is planning to matter its own cryptocurrency in the future.
The Indian finance ministry reproach bitcoin (BTC) and others cryptocurrency in January. They also gave the reason behind the reproach comments about cryptocurrency, they said there is “a real and heightened risk of investment bubble of the type seen in Ponzi schemes, which can result in sudden and prolonged crash exposing investors.”