Banning cryptocurrency in India not a solution: Nasscom

Industry body Nasscom (National Association of Software and Services Companies) has opposed the recent proposal for banning cryptocurrencies in India, saying it is “not a solution”.

“Nasscom believes that the recent proposal of the Inter-ministerial Committee of the government to ban all cryptocurrencies barring those that are backed by the government, is not the most constructive measure,” the industry body said in a statement. “Instead, the government should work towards developing a risk-based framework to regulate and monitor cryptocurrencies and tokens.”

A government panel earlier proposed a draft bill titled Banning of Cryptocurrency & Regulation of Official Digital Currency Bill, 2019. The move, though not official yet, will make it illegal to deal in any cryptocurrency in India, which is not regulated by the government. That will include currencies such as Bitcoin, Ethereum, Ripple and more.

Nasscom though is not the only organisation that has taken this view. Other…