After being startled by the phrasing of a government announcement that indicated a ban on all private virtual coins, Indian cryptocurrency holders panicked and flooded the exchanges at midnight Tuesday. The most valuable cryptocurrencies, such as Bitcoin and Ethereum, have seen their prices plummet by as much as 15%. Investors were reassured by cryptocurrency exchanges, who advised them not to sell too soon.
According to the Lok Sabha bulletin issued Tuesday evening, the Cryptocurrency and Regulation of Official Digital Currency Bill, 2021, which will be introduced in the next session of Parliament, “seeks to prohibit all private cryptocurrencies in India” but allows for “certain exceptions to promote the underlying technology and its uses.”
Fears were prompted by the description, which was similar to that used earlier this year when news of a ban initially surfaced. Based on meetings they’ve had with the government and authorities in recent months, crypto sector leaders believe the fear is premature.
On popular exchanges including CoinDCX, WazirX, and crypto exchange aggregator CoinSwitch Kuber, the value of these coins has rebounded to some extent since Tuesday.
“As of now,” CoinSwitch Kuber founder and CEO Ashish Singhal tweeted, “I advise all crypto asset investors in the nation to be cool, conduct their own research before coming to a hasty judgment.”
“Investors should wait for a government pronouncement on this issue rather than relying on secondary sources of information,” Singhal said. “The cryptocurrency sector is hoping that the government would include industry stakeholders in the bill’s formulation. We at CoinSwitch Kuber will adhere to the government’s instructions.
Singhal is also the co-chair of the Internet and Mobile Association of India’s Blockchain and Crypto Assets Council (BACC) (IAMAI).
INDIAN CRYPTO EXCHANGES: cryptocurrency
According to WazirX CEO Nischal Shetty, trading volumes increased by 50% from Tuesday night’s average. By Wednesday evening, the selloff looked to be slowing off, but analysts indicated it was still a sellers’ market. Late Tuesday, the selling began in earnest, with the contents of the bulletin being broadcast on TV and social media platforms. The crypto platforms are now available to the public.
Singhal is also the co-chair of the Internet and Mobile Association of India’s Blockchain and Crypto Assets Council (BACC) (IAMAI).
Also read: CRYPTOCURRENCY IS SAFE OR NOT?
According to WazirX CEO Nischal Shetty, trading volumes increased by 50% from Tuesday night’s average. By Wednesday evening, the selloff looked to be slowing off, but analysts indicated it was still a sellers’ market.
Late Tuesday, the selling began in earnest, with the contents of the bulletin being broadcast on TV and social media platforms. Trading platforms for cryptocurrencies are available 24 hours a day, 7 days a week. As coin values began to decline, investors pressed the sell button to limit their losses.
Singhal is also the co-chair of the Internet and Mobile Association of India’s Blockchain and Crypto Assets Council (BACC) (IAMAI).
According to WazirX CEO Nischal Shetty, trading volumes increased by 50% from Tuesday night’s average. By Wednesday evening, the selloff looked to be slowing off, but analysts indicated it was still a sellers’ market.
Late Tuesday, the selling began in earnest, with the contents of the bulletin being broadcast on TV and social media platforms. Trading platforms for cryptocurrencies are available 24 hours a day, 7 days a week. As coin values began to decline, investors pressed the sell button to limit their losses.
“The Indian stock exchanges were the epicenter of the crisis. The sellers were fresh investors who had entered the market as a result of the crypto frenzy and had since earned a profit on their investments “Vishal Gupta, a 34-year-old crypto investor from Noida. He also operates a prominent crypto YouTube channel, agreed. “They had no prior experience dealing with turbulence. They started tossing their cash around right away.”
