By: Ranjini K
August 18 2020
True: The Indian government is planning on banning cryptocurrency in India.
Share Article:
Fact-Check
The Verdict True
A draft had been prepared by a high-level government panel in July 2019 to ban cryptocurrency in India, but it is yet to be implemented.
Claim ID 5272d7e0
A draft had been prepared by a high-level government panel in July 2019 to ban cryptocurrency in India, but it is yet to be implemented. The Indian government had constituted an Inter-Ministerial Committee (IMC) in July 2019 to study the positive and negative aspects of cryptocurrency. Later a draft bill was prepared to ban the cryptocurrency in India. But in March 2020, the Supreme Court gave a ruling to Reserve Bank of India(RBI) to allow the digital currencies in financial transactions. The government was of a view that banning it through law would be more binding, and it had already forwarded a note to related ministries for inter-ministerial discussions. The government has consulted the law ministry, ministry of information and technology, and the RBI to frame a law to be presented in the cabinet for approval when sessions are resumed in the parliament. Thus it could be implemented to end trading in cryptocurrency in India formally.