India’s government drafts cryptocurrency ban

India government has been working on a cryptocurrency ban, ET writes. The “Banning of Cryptocurrencies and Regulation of Official Digital Currencies Bill 2019" has been drafted by a panel led by finance secretary Subhash Chandra Garg and has now been distributed to relevant government departments for consultations, according to ET’s sources.

After the new government takes over following next month’s elections, it will be presented with the proposed law.

Some ministers have already expressed support for introducing a complete ban on cryptocurrency trading and issuance, including the Department of Economic Affairs and the Investor Education and Protection Fund Authority. According to a committee where the departments’ representatives sit, “There is an urgent need to ban sale purchase and issuance of cryptocurrency.”

The committee also pointed to the fact that a cryptocurrency ban could already be imposed under the Prevention of Money Laundering Act since cryptocurrencies may be used for money laundering.