India’s Central Bank Denies Knowledge of Bill to Ban Cryptocurrencies

Also read: Indian Cryptocurrency Regulation Is Ready, Official Confirms Indian lawyer Varun Sethi, founder of Blockchain Lawyer, revealed Wednesday that he has received a reply to the Right to Information (RTI) request his team filed with the country’s central bank, the Reserve Bank of India (RBI). In its reply, the central bank denied “any written correspondence from other ministerial departments officially to RBI,” declared that it had never “sent out official communication to other departments for this matter,” and confirmed that there had not been “any communication received from Central Government in this matter.”.

The Economic Times article also reported that “A number of government departments including the Department of Economic Affairs (DEA), Central Board of Direct Taxes (CBDT), Central Board of Indirect Taxes and Customs (CBIC) and the Investor Education and Protection Fund Authority (IEPFA) have endorsed the idea of a complete ban on the sale, purchase and issuance of all types of cryptocurrency,” citing the unnamed government official. Drilling deeper, Sethi asked if the RBI had made any efforts to obtain a copy of the draft bill that had apparently been circulated to other relevant government departments, given that the RBI claims on its website that it “has been initiating many investor education notifications educating investors to refrain from investing in cryptocurrencies and risks involved therein.”