The Internet and Mobile Association of India (IAMAI) said that there is some amount of ‘secrecy' around the cryptocurrency and regulation of the official Digital Currency Bill, 2021, a new regulation expected to be cleared soon.
“We do not understand what is the secret about this bill,” said the chamber of industry. “More strangely, not a single ecosystem player, industry representative or members of the public were asked before drafting it,” IAMAI said.
There are more than 10 million buyers and sellers of cryptocurrencies in India (mostly in bitcoins), which account for 10–15% of the global user base.
Many entrepreneurs have already built their business around cryptocurrencies and hundreds of technologies have been deployed in building the software platforms and trading infrastructure required for crypto exchanges.
“So far the ecosystem players only have information and no clarity about the government's plan,” IAMAI said.
“If the government has a plan to ban crypto, why does it need a bill if it is done through an executive order”. “There are hundreds of software developers working in India using cryptocurrencies,” said Nishith Desai, founder of Nishith Desai Associates. “In addition, there are skilled graduates from institutions of technology supported by well-known venture capital funds, which are in the space,” he said.
“In addition, millions of people have made legitimate investments in crypto. There may be constitutional issues to deprive of opportunities, ”Mr. Desai said.