RBI Closes Doors On Cryptocurrency Trading In India & How This Affects Indian Users Of Steemit!
RBI has said that any entity regulated by it cannot provide services to any business dealing with cryptocurrency. I'm just going to give out the main points objectively. The situation isn't very good at the moemnt but let us not spread panic and FUD.
As per the latest release from RBI
Reserve Bank (central bank of India) has repeatedly cautioned users, holders and traders of virtual currencies, including Bitcoins, regarding various risks associated in dealing with such virtual currencies. In view of the associated risks, it has been decided that, with immediate effect, entities regulated by RBI shall not deal with or provide services to any individual or business entities dealing with or settling VCs. Regulated entities which already provide such services shall exit the relationship within a specified time. A circular in this regard is being issued separately.
In simpler words RBI has fucked us over!
This will effectively stop:
- Purchase of Bitcoin/Alt coins via Indian exchanges with INR via bank a/c and payment gateways.
- Sale of cryptocurrency via Indian exchange for INR and receiving funds from these exchanges.
This doesn't affect, use of foreign cryptocurrency exchanges, decentralized exchanges or use of LocalBitcoins.com, and other uses of cryptocurrencies that doesn't directly deal with Fiat in anyway in India. I'm of the opinion that once the dust settles, cash transactions may boom.
If you are on Facebook then watch this video from CNBC TV18 which discusses the issue quite well.
https://www.facebook.com/cnbctv18india/videos/vb.169218193115587/1764877810216276/?type=3&theater
From my sources I've learnt that exchanges aren't notified officially and they are working to deal with this issue. If it comes to that there will be some time before everything winds down. We will have time to exit however, the prices might not be that great!
I saw some massive dips in price, live on our exchanges today in India. Users of Steemit from India, I will keep you updated as the situation becomes clearer.
This is a protectionist move from the government and I wish we had better people in power. Unfortunately, you and I are not the policy makers nor market movers. We are simply, small speculators who have to do anything to survive in this evolving market, and we will survive!
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I expect nothing more from the corrupt Modi government. Remember demonetization in India when they banned certain bill denominations and the havoc that caused across the country? These people don't give a shit about anything else but their own power.
Canadians turned to LocalBitcoins after the Canadian banks started blocking crypto transactions, so maybe Indians will do the same: https://steemit.com/bitcoin/@techwizardry/canadian-investors-are-pouring-millions-into-localbitcoins-following-banking-blockade-on-crypto-transactions
Cracking down on exchanges didnt stop people from buying crypto in China . and it will be same in India or any other country too. The main thing is Govt cannot decide where to put the value and where not. May be they put some road bumps . Wider adoption will take place eventually . DEX , regulations in some proactive economically solvent countries will push China or India to look back and revert their decision. For now , every mature crypto guy knows what to do . We have seen China and we shall overcome India too.
very sad news for cryptocurrency
I came to know about this news few hours ago and I really disappointed by the decision of RBI because banning cryptocurrency is not a solution and that makes it more difficult for those who wants to invest in cryptocurrency but now they also fears to enter in this cryptocurrency market,
I saw a massive drop in prices of zebpay and other cryptocurrency exchanges in India and it's really bad news for indian Steemit users,
Well we still have 3 months so let's see what happens after those 3 months 😐
I can see the potential for global FUD
What does not kill us, it will make us stronger. They can do nothing! They have no power here :)
This is the official statement from Zebpay, one of the better apps in India.
Also, in my case, thankfully I withdrew everything and the only crypto-currency I have now are SPs. After power down, will there be no way to en-cash them in India?
Next will be SEC regulation classifying ICO as stock . This will make sure every project is properly vetted before you can collect money from investors. The current crypto model will not survive so as most altcoins.Block chain technology will strive but the economic model will be different.
Scammers called my father for credit card details and OTP. Thanks to Airtel, OTP never reached to his phone.
In the same way, government is putting ban to things to avoid such scams. Wow! Great move Indian Government. :-) To stop the abuse or risks, you stop the system altogether. Mega LOL! :-D
This is such so disgusting, i am felling so frustrated. I mean what the hell is this going on.
If this happen then can't we trade in crypto currencies ? or have to exit at this time. It is so scary to me. Well, thanks for the update.
The title made to read the article immediately.