India Reinstating Bans on Cryptocurrencies?

When it comes to India's decision on banning cryptocurrency the daily news is like a roller coaster. Just today Reserve Bank of India restated their concerns to accepting cryptocurrency in its country. Furthermore a court in the country crypto trading ban that started in 2018 to remain. Yet however just days earlier Reserve Bank of India was saying how they did not have concerns with crypto and that the 2019 ban could eventually be lifted.

Even India's Banks are Confused

HDFC Bank, a leading private bank in India with 5,608 branches and 16,087 ATMs, had been sending letters to its customers threatening to close their accounts due to crypto transactions. However, local media reported that the bank retracted its communication to customers after the RBI clarified its position.

Without clear direction it is difficult to know if the India government is really supportive or against crypto. India tech savvy and heavily STEM education is partly the reason why currently as of April 2021 have over 10+ million investors in crypto. This number only continues to climb by the day.

The government is misinforming their position on crypto making millions still hesitant to invest in crypto.

they, India government, said they don’t consider it as a part of the payment system. Meaning one can’t use crypto to buy and sell things; however, they never said it couldn’t be held as an asset.

Government nowhere said that buying, selling or holding cryptocurrencies were prohibited. They said that they are taking measures to eradicate the use of crypto in financing illegal activities: a great step towards a healthy crypto ecosystem.

Conclusions

Rather than looking at the misdirection/misinformation from India government I think the key here is look at the asset price appreciation. Ban or no ban right now BTC is close to $40k which is a lot closer to all time highs than all time lows. Investments always comes with risks. If I was in India and waited for the government to decided if BTC is worth investing I likely will have already miss the boat.

Rather invest and hold onto the crypto now and continue amassing crypto until news comes out of the government and clarifies its intentions. That way if good news is upon us it can easily mean meteoric rise in prices for crypto. In addition if I am already holding crypto but the government comes out clarifying their ban in crypto I can still find other countries who do not have the ban and sell my crypto to mitigate losses.

I would not rely on the government to determine for me if crypto is going to be a valuable asset just like many other things in life. Each has their own rights to do what they wish but as even today anyone who had been an early adopter to crypto they would be holding a ton of profits. All this without government saying a single sentence regarding crypto.

None of this is cryptocurrency investment advice. This is for entertainment purposes only. Thanks for reading.