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Reason Why Even After Possible Ban, Cryptocurrencies are Blossoming in India

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Apr 12, 2021

For several years, the fate of cryptocurrencies in India has been full of speculations around possible bans on digital currencies. There are many speculating that the Indian Government would eventually favor the proposal made by the Reserve Bank of India (RBI) of banning cryptocurrencies.

The Reserve Bank of India (RBI) had recently submitted a proposal at the Indian Parliament to ban cryptocurrencies in the country for good. This has resulted in giving birth to many concerns among the cryptocurrency communities in the country.

While the decision is yet to be made and an official announcement is due, an anonymous minister from India has dropped very concerning and alarming news on the fate of cryptocurrencies.

The Indian minister requesting to keep his identity anonymous informed the sources that the fate of cryptocurrencies has already been decided. The person claimed that the parliament has already decided in Lok Sabha that cryptocurrencies will be banned in the country.

It was also revealed by the same person that the government will give the cryptocurrency traders and users in India 3 to 6 months to liquidate their cryptocurrencies into fiat.

This news saw a lot of backlash from the cryptocurrency community as many protested against the decision. However, there were some who did not fully trust the rumors and claims made by the anonymous minister.

That is exactly what happened when Nirmala Sitharaman, the Indian finance minister provided clarity on the matter. She clarified that the reports of the government completely taking out cryptocurrencies are exaggerated. These rumors have been spread only to create concerns and disputes among the government and the investors/crypto-community of India.

Sitharaman stated that at present, no decision has been made about the fate of cryptocurrencies. The sessions around the consideration of cryptocurrencies are still going on and the government is yet to come to a conclusion.

Turns out that this was the statement that the cryptocurrency investors and firms were looking for. The moment the clarification was provided, the cryptocurrency industry adoption went skyrocket. The industry observed as the number of signups and registrations surged for cryptocurrency adoption on crypto-firms.

Recently, the largest cryptocurrency exchange from India, WazirX has shared very promising stats for April’s first week. The exchange has revealed that it has experienced a spike in the number of signups made on the exchange.

Priyanka Sharma, the head of communications at WazirX also talked about the surge in the signup requests the exchange is catering. She stated that the number of signups they have observed in the first week of April is more than the total number of signups they catered in the first six months of 2020.

Another cryptocurrency exchange known as CoinDCX from India has also shared similar results around the number of signup requests they have received in the month of April compared to 2020.

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