Against the broad call to regulate crypto as an asset class, Indian Lawmaker Nishikant Dubey has called on the government to ban digital currencies, stating that the supposed financial revolution is based on darknet technology. As reported by local news channels, MP Dubey raised the issue during the Zero Hour in the Lok Sabha and likened the growth and enthusiasm surrounding digital currencies with the Tulip Mania in Holland as far back as the 1600s.
“From 2013-14, our member Shivkumar Udasi has been contending that this should be stopped, it is based on dark net technology and this would only be used for drugs, prostitution, terrorism, arms,” Mr. Dubey said, adding that “the whole world is troubled by it. The RBI has been saying continuously that this should be completely banned.”
The lawmaker said the fact that there is no central authority in charge of the majority of digital currencies makes them more difficult to regulate. The similar fears being peddled by MP Dubey remain amongst the strong reasons why many government authorities around the world are keen on clamping down on cryptocurrency.
As reported by TheCoinRise, Indian cabinet documents show that digital currencies will not be banned but regulated, sending a lot of relief to the community in the previous week. The position by lawmakers such as Nishikant Dubey and a few other antagonists may impact the outlook of digital currencies, however, if majority considers cryptocurrencies worth regulating, then the negative stance of a few may have no damning impact on the nascent asset class.
While Crypto Ban Abounds, Regulatory Embrace Abounds Much More
Different world governments take different approaches in a bid to regulate the cryptocurrency ecosystem. While the Indian lawmaker remains an anti-crypto personality, El Salvador’s President, Nayib Bukele has been all the more bullish when it comes to providing a soft landing for crypto innovations to thrive.
Beyond the plans to join the Bitcoin mining game through the use of geothermal energy from the country’s rich volcanoes, the country is also planning to build a Bitcoin city using funds from Bitcoin-based bonds.
The El Salvador model has shown that despite the risks many may link with digital currencies, Governments have the power to regulate the space in order to bring out the good in it. Other countries apart from El Salvador are also taking a regulatory-centric approach, a development that indicates the growing maturity of the entire digital currency ecosystem.