It was not long ago that China declared war on cryptocurrencies and summarily banned them again. China, where once a large number of Bitcoin farms were, have all emigrated.
Now the Indian government wants to ban trading in cryptocurrencies. This is supposed to be connected with heavy penalties like prison sentences. In this way, the Indian authorities are trying to use fear to prevent people in India from suppressing the crypto scene, which is growing worldwide.
The bill aims to ban all activities related to the crypto scene such as trading, mining, and owning crypto.
While the move would hit Indian crypto investors hard as the equivalent of $6 billion in crypto assets have now accumulated among them.
A sign of fear for their own monopoly position?
The move comes as a surprise given that Indian authorities have only just declared themselves in favor of developing blockchain technology.
But it can also be seen as an attempt to prevent the free crypto markets from interfering with the government’s monopoly. With this bill, the authorities would gain further privileges if they decide to use their own CBDC in the future. In this way, as in the current fiat system, there would be no competition with the monopoly position of the national currency. And once again, people are forced to use fiat.
Yet another central bank opposes crypto
This is made clearer by the fact that the move came after the Indian central bank sees cryptocurrencies as a threat and wants to prevent financial institutions in the country from trading cryptocurrencies.
Free Markets Do Not Exist When Governments Hold Monopolies. People who speak out against free markets today have never experienced free markets because they have never lived in a free market.