While the Indian government could still be considering a bill to ban certain cryptocurrencies within the country, lawmakers are unlikely vote on any legislation during the current session.
According to Friday’s publication, India’s lower house, Lok Sabha will not likely be reviewing a bill that would prohibit “all private cryptocurrency” before the winter session ends on Thursday. The Cryptocurrency and Regulation of Official Digital Currency Bill is not listed as one of seven bills that the government body will be considering in the final days of its 2021 session.
The Lok Sabha bulletin of 23 November stated that Indian lawmakers can vote on legislation to create a “facilative framework for creating the official digital currency.” This bill will be issued by India’s central bank, Reserve Bank of India. The bill also proposed banning certain cryptocurrency. Although the same bill was previously on the agenda of the parliament, it has never been voted on.
India’s Supreme Court overturned a blanket ban against crypto that was imposed two years ago by the Reserve Bank of India. Many local media reports and statements by officials have suggested that the government is looking at other solutions to regulate or ban digital assets.
Related: India’s government is reportedly reviewing a proposed crypto ban legislation
Even if India’s parliament fails to address the crypto legislation, Ram Nath Kovind the President of India may be able issue an ordinance to speed-track the bill when India’s Lok Sabha isn’t in session. This would likely happen between December and January. India’s Finance Ministry officials are also said to be considering a legal framework for cryptocurrency that would treat them more like commodities than currencies.
India has a population of approximately 1.4 billion. Creating a legal framework for a central bank to issue a digital currency would have significant impact on the entire space. The November bill was introduced to the parliamentary agenda. Crypto exchange WazirX experienced mass selloffs that resulted in substantial price drops in Bitcoin (BTC), Ether(ETH) and other tokens.