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India’s New Cryptocurrency Regulation Plan: Report

India Has New Plan to Regulate Cryptocurrencies: Report

India is working on a new way of regulating cryptocurrencies. According to a report, “The government plans to define cryptocurrency in the new draft bill which also proposes to compartmentalise digital currencies on the basis their use cases.”

How India Will Regulate Cryptocurrencies

India reportedly plans to regulate cryptocurrency as commodities based upon use cases. According to The Economic Times, “The government plans to define cryptocurrency in the new draft bill which also proposes to compartmentalise virtual currency on the basis of its use cases,” Friday’s report said. It cited three people who were aware of the development. The publication described:

Cryptocurrencies will be treated as an asset/commodity for all purposes, including taxation and as per use case — payments, investment or utility.

“Crypto assets may be classified based on the technology they use, or based on their end-use. One person with knowledge said that before we can discuss how regulations should work, the government must define what cryptocurrencies mean to them.” According to the person, the government is not seeking to allow settlements and payments through virtual currencies .”

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The government will also decide which cryptocurrencies are allowed to be traded in India.

This would be the first time that cryptocurrencies will be classified by the technology they use. Sources told the news outlet that this was to clarify that the government will only be concerned with the end-use of the asset in order to regulate it.

The news that the Indian government may regulate cryptocurrencies as commodities based on their uses cases was well received by the crypto community.

Nischal Shashik, CEO of Wazirx crypto exchange, stated: “This is a very positive step for the crypto sector and I’m glad the government is moving in this direction towards crypto regulation. This will provide more clarity to the industry and encourage more entrepreneurs to enter this sector. This will lessen the anxiety of VC investors looking to invest in India’s crypto industry. This will boost confidence and provide stability for traders and retail investors.

VikramSubburaj, CEO at crypto exchange Giottus, stated that cryptocurrencies are not all created equal. Even among the top 20 cryptocurrencies, there is a wide difference in objective and investor appeal.”

Edul Patel, CEO of

Mudrex, commented that the idea of separating cryptos on their uses cases was thoughtful and would provide a significant boost for this newly recognized asset class if implemented effectively. This also shows that the government recognizes that cryptocurrency are more than just speculative instruments. They have actual use cases .”

Do you think the Indian government will regulate cryptocurrencies in the way described above? Please let us know your thoughts in the comments below.

Image Credits: Shutterstock, Pixabay, Wiki Commons

Disclaimer: This article is for informational purposes only. This article is not intended to be a solicitation or offer to buy or sell any products or services. Bitcoin.com does not provide investment, tax, legal, or accounting advice. The author and the company are not responsible for any loss or damage resulting from or in connection to the content, goods, or services discussed in this article.

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Bank Protests and Holdups Continue to Rise in Lebanon, as Depositors Demand Savings

Bank Holdups and Protests Continue to Rise in Lebanon as Depositors Demand Their Own Savings

On Dec. 17, reports detail that residents in Lebanon have been staging sit-ins and protests at banks in order to access their own savings accounts. Since the economic collapse in 2019, Lebanon’s banks froze Lebanese bank accounts, and a number of branches have remained closed indefinitely. Although a few Lebanese have been forced to fork over their savings, most of the residents have fled or been arrested without any money.

Lebanon Banks Respond to Protests and Gunpoint Requests from People Wanting Their Savings Back

In August 2019, it became apparent to the world that Lebanon was suffering from a liquidity crisis, and there have been many reports that say financial coverups and U.S. sanctions put Lebanon’s economy in a vice grip. It has been reported that by late 2018, a handful of Lebanese commercial banks froze people’s accounts and by the first week of March 2020, Lebanon said it would default on its Eurobond debt.

The country began seeking restructuring agreements. However, Lebanon’s lira rate diverged from the black market rate in August . A report published in August 2022 details that the “black market rate is what the currency is actually worth now.” In June 2022, Bitcoin.com News reported on Lebanon’s inflation rate surging to 211% which highlighted the economist Steve Hanke, who said the country should leverage a currency board.

Bank Holdups and Protests Continue to Rise in Lebanon as Depositors Demand Their Own Savings
Lebanese soldiers who are still able to make a living as enforcers protect Lebanon’s central bank and current politicians.

On Dec. 17, NPR columnist Ruth Sherlock described how poverty-stricken Lebanese have been outside of banks protesting in order to get access to their own savings accounts. In Tripoli, Lebanon at an IBL Bank branch, Sherlock said a 53-year-old woman named Zahra Khaled sat in a wheelchair and would not leave the bank until the staff gave up her life savings. Sherlock reports that Khaled said the bank had frozen “tens of thousand dollars”.

Sherlock explains that Khaled’s protest was “one of the gentler tactics” and that some are using real or toy guns in order to recover their money. The NPR reporter does note that some Lebanese who resort to this tactic only want “what they are owed.” Countless reports, littered all over the internet, confirm Sherlock’s account that says Lebanese bank accounts have been frozen since 2019, since the onset of Lebanon’s economic collapse. In 2020, angry depositors and protests got so bad that the commercial banks armored the fronts of specific branch buildings with steel and cement walls.

Reuters reported in Sept. 2022 that “bank holdups snowball in Lebanon as depositors demand their own money,” as these types of acts have become a normal occurrence in the country. Reuters elaborated that five depositors held up banks in order to access their own funds and some depositors managed to get around $60K, while some people were taken into custody. In Nov. 2022, Al Jazeera detailed that banks in Lebanon reopened for two weeks. Al Jazeera was told by a Lebanese photographer that he had been waiting for a cheque to be cashed for over two weeks.

Sherlock’s reports stated that Khaled had negotiated for hours with the bank staff but they eventually left. Khaled was then taken out by the Internal Security Forces, Lebanese police who are also known as the ISF. Lebanese depositors have protested at banks such as Bank Audi, IBL Bank and Blom Bank. On Dec. 16, Reuters reported that a U.S. court of appeals has decided that Lebanese commercial banks can be tried outside Lebanon.

What do you think about Sherlock’s report that says Lebanese citizens are resorting to trying to get their funds at gunpoint and assembling protests in front of Lebanon’s commercial banks? Please comment below to let us know your thoughts on this topic.

Jamie Redman

Jamie Redman, the News Lead at Bitcoin.com News, is a Florida-based financial journalist. Redman has been an active member of the cryptocurrency community since 2011. Redman is passionate about Bitcoin, open-source codes, and decentralized applications. Since September 2015, Redman has written more than 6,000 articles for Bitcoin.com News about the disruptive protocols emerging today.

Image Credits: Shutterstock, Pixabay, Wiki Commons

Disclaimer: This article is for informational purposes only. This article is not intended to be a solicitation or offer to buy or sell any products or services. Bitcoin.com does not provide investment, tax, legal, or accounting advice. The author and the company are not responsible for any loss or damage resulting from or in connection to the content, goods, or services discussed in this article.

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