You won’t have the capacity to purchase digital currency by means of banks or e-wallets and so on in India any longer. Reserve Bank of India (RBI) has prohibited them with prompt impact from
“managing or giving administrations to any people or business elements managing or settling virtual monetary standards”.
RBI it its first bi-monthly monetary policy has mentioned that any entity like banks, wallets etc. will not endevour any services. Especially, to any individual or business entities for buying or selling of cryptocurrency such as bitcoins. In these possible cases, the individuals will not be able to transact any money from their individual wallet or accounts.
This brings a serious change in the market. The decision taken by RBI has taken the market by storm.
The official statement reads,
Shall not deal with or provide services to any individual or business entities. Especially for buying or selling of cryptocurrency such as bitcoins. If banks, e-wallets and any other entities regulated by RBI are not allowed to facilitate sale or purchase of cryptocurrencies, obviously individuals will not be able to transfer money from their bank accounts to their crypto-trading wallets.
RBI said that technological innovations have the potential to improve the efficiency and inclusiveness of the financial system. However, Virtual Currencies (VCs), also variously referred to as cryptocurrencies and crypto assets. They raise concerns of consumer protection, market integrity, and money laundering, among others.
In view of the associated risks, it has been decided that, with immediate effect, entities regulated byshall not deal with or provide services to any individual or business entities dealing with or settling VCs. Regulated entities which already provide such services shall exit the relationship within a specified time. RBI will be issuing circular in this regard for further details.