The Centre’s move to bring a bill in the upcoming Winter Session of Parliament to regulate cryptocurrency has sparked a ripple effect, with bitcoin prices crashing to the lowest in a month.
As markets and experts speculate on the consequences of the decision, sources in the security establishment told CNN-News18 that the regulation will not be an outright ban.
“A regulation mechanism will be in place so that crypto is not misused. The government is concerned about the underground transactions happening against cryptocurrency — particularly its role in ‘hawala’ and terror funding,” they said.
They added that cryptocurrency will not be recognised as legal tender as this is dangerous for currency and taxation system of the country. “A strict mechanism will be in place so that law enforcement agencies can trace the origin of cryptocurrency used for illegal or anti-national work,” they said.
The Cryptocurrency and Regulation of Official Digital Currency Bill, 2021, is among 26 bills listed for introduction in the Winter Session, beginning on November 29, according to the Lok Sabha website.
This news originally appeared on News 18.com and is reproduced here with permission