The adoption rate and legal posture of Bitcoin and the rest of altcoins fluctuate widely from country to country. Few countries have restrictions on how Bitcoin could be used, with banks preventing customers from executing cryptocurrency transactions. While some other countries have restricted the use of cryptocurrencies with a burden of heavy capital gains penalties.
China, Russia, Indonesia, Egypt, Colombia, Iran, Iraq and many other countries have so far seen some sort of restriction on crypto-currencies. In addition, India, which has the second highest cryptocurrency adoption rate, has drafted a framework to introduce a strict regulatory bill against crypto projects.
Second Most Adopted Crypto Nation Is Preparing Bill To Ban Crypto Regulation!
Transactions of assets like Bitcoin and Ethereum through Blockchain are supposed to be safe, secure, and fast, and some crypto projects are more private in terms of executing transactions. The recent buzz is that the Indian government is outlining a plot to limit the use of all private cryptocurrencies Across the country. In addition, it was also stated that a restriction would come with some exceptions to encourage the underlying technology for its revolutionary benefits.
However, the government has not clarified the definition of private cryptocurrencies. Market supporters believe cryptocurrencies like Bitcoin, Ethereum, Solana, and other protocols are built on public blockchain networks. This means that transactions executed through the networks are traceable, which allows merchants a certain anonymity.
On the other hand, private cryptocurrencies such as Monero, Dash coin, Zcash, Verge, Beam and many more appear to be on the government’s ban radar. Although these projects have developed on public blockchains, they obscure or obscure the details of the transaction to facilitate user privacy.
In addition, these protocols have already encountered many hacking attempts. Moreover, the government and regulators seem rather interested in surveying traders with huge transactions of such private coins.
However, despite the regulatory compliance proposal from the second most adopted country in crypto, the global market has remained stable. India is preparing to ban private cryptocurrencies, but China imposed a complete cryptocurrency ban in September 2021, but market capitalization is not affected.
Collectively, many countries have imposed a regulation to ban cryptocurrencies from fraud. On the other hand, it would be technically difficult to derive the maximum benefits from the blockchain with a ban on cryptocurrencies. In addition, the fundamental right of its people to do their business, and there can only be regulatory limitations required which do not mean a ban.