As per the local newspaper, the Hindu reported, the head of an Indian non-profit organization stated digital currency is ‘Illegal’ in India.
The President of the National Association of Software and Service Companies (NASSCOM), Debjani Ghosh, was cited by the Hindu stating that digital currencies are illegal from NASSCOM perspective. NASSCOM is non-profit trade association of over 2,000 member companies for the Indian IT and business process outsourcing industries.
Debjani Ghosh asserted about digital currency’s legal status, “It is the law of the land, and so, we have to work with it.” She continued, ‘If we don’t agree, we have to go back to the government and speak about why digital currencies aren’t correct.’ Although, Ghosh noted that ‘illegal’ status of crypto is the result of government’s failure to keep up with innovation:
“The genesis of this problem, although, lies in the failure of policy-making not keeping pace with rapid technological changes. NASSCOM’s focus would be to say, how do you synergize technological development and policy making. I think that will be our focus.”
Digital currency is currently legal in India, however, in July, the Reserve Bank of India (RBI) banned banks from doing business associated with digital currencies. At that time, RBI referred to financial stability and the security of the investor as being the primary reasons behind the ban.
Since July, the embargo has served the repercussion for the industry Exchanges, in particular, have faced difficult situations, with major platform Zebpay halting operations and relocating to crypto-friendly nation Malta.
Debjani Ghosh, remarks comes after police clamped down this week on a project from cryptocurrency exchange Unocoin, arresting its co-founders after they put a Bitcoin ATM without any prior permission in a Bangalore shopping mall.