The Economic Times reported the prediction of the Indian government planning a bill that would effectively ban the trade in cryptocurrencies.

The bill is likely to be taken up for discussion by the cabinet before it is sent for approval to the Parliament. It is expected that people will soon see development as the government is working on encouraging blockchain, the technology responsible for cryptocurrencies. But the trading of cryptocurrencies will be a major highlight.

The Indian Central Bank, in 2018, banned crypto transactions after a series of frauds that were witnessed post Narendra Modi’s sudden decision to ban 80% of the nation’s currency back then. Indian federal government think tank, Niti Aayog, is exploring possible uses of blockchains – the structure that stores transactional records or blocks in networked databases. The records could be related to land, pharmaceutical supply chain, or educational certificates. Therefore, the government is looking forward to bring the virtual currency but not moving toward the idea of cryptocurrency trade.

The ban could affect more than 1.7 million Indians trading in digital assets, and a rising number of companies setting up the platform for the trade, as shown by data.

Sanjay Khan, Partner, Khaitan & Co, a New Delhi-based lawyer or firms’ advisor, says, “India instead of ban needs to ensure adequate oversight of the government and the RBI over cryptocurrency businesses. India can actually benefit from such a regulation to attract cryptocurrency investors and businesses.”