Blockchain lawyer Reaction to ALLEGED draft bill for banning cryptos in India

Blockchain lawyer Reaction to ALLEGED draft bill for banning cryptos in India


hey guys how you doing today so it’s July 15 to 2019 after some time actually tweeted and it seems that I’m carrying I’m getting lots of reactions on that tweet this video primarily focuses on that tweet so the tweet was regarding the alleged draft of the banning of crypto currencies and regulation of official digital currencies bill 2019 of India why this has taken so much attention amongst crypto traders and users is the fact that this proposed or alleged bill actually talks about banning transactions of trade mining holding selling so idly it hits the very nature of crypto currencies right at the core so the question here is that one of my thoughts about it and what can be done in this situation and how should we react to this news so before we delve deeper into this news let me just put some things very straight one this looks like a very varied rough draft of a proposed bill so it’s not gonna Bill leave it on being an actor it’s a very varied rough draft it might not end up being maybe just a random discussion paper and it may not actually become bill in the same manner and mode in which this has been stated so that’s one second it is an informal thing it has not been disclosed formally by the government to us so the source is I would not say questionable but the source is still not official it is an inefficient thing and the third is that India still would require maybe if this goes through that India still would require maybe answer to cryptocurrency people globally because there are opposite things going on in the global market of course with Facebook’s libera facing some difficult questions from the US and UK governments but of course there are other people also who are developing something very nice so let me just delve deep into what this alleged draft of the banning the cryptocurrency and the regulation of the official digital currency bill or let beloved say are 2019 states I have seen some of the videos of other experts in this field and they have shared their comments I totally agree with their comments that this actually seems to be very very strict however my personal opinion on this this thing it’s slightly different in the sense that let us draw some positives out of it generally there are people who are talking negatives but let us let us first take a conjuror distance that if this thing goes through then what are the action that we got to take that’s one second is this something positive that is mentioned in the bill so let’s just focus on the positive I know it’s very hard to absorb that there are some positives in the alleged document but let’s see how how we can interpret in a positive manner and see how things can go so the naval bill is of course banning of cryptocurrencies and regulation of Christian digital currencies bill the first thing that that strikes me in this document is the very inane definition of crypto currencies now what is very surprising is that crypto currencies in this document includes any information code or number or token information code number or token Wow and which is generated through a cryptographic means and provides a digital representation which can be exchanged with or without consideration wow I’m excited about this definition let us first interpret this definition and see then what the other countries the world are interpreting cryptocurrencies as now this simply means that any information which is an cryptographic form and whether it is traded or transacted between two people with or without consideration would actually be deemed or can be deemed to be a crypto currency now this is very surprising why because say for example if I’m here in Delhi and I rem it or transfer some information to a friend say Mumbai and that information in the joking manner only is about is in a manner which is cryptographically stated something like a train in Delhi today so maybe I can call up my friend and say hey the clouds are crying in Delhi what does that mean what is that that notion me clouds are crying in Delhi means indirectly it is raining in Delhi however since this is cryptographically stated cryptographically stated which me and my other friend Mumbai would be able to understand let’s presume others are not able to understand this statement then it is an information which is cryptographically stated and which may or may not be stated in in certain monetary consideration and of course it with promise or representations of handling having an inherent value in business so of course so maybe my friend was planning to travel to from Mumbai to Delhi and based on this cryptographic message that are stated he decided to cancel his travel and which may involve risk of loss or expectation of profits obviously was coming from Mumbai to Delhi to make some business transaction he stopped based on this information or it functions as a store of value ideally speaking highly speaking this small statement casually stated an information or a code or a number can now be interpreted as cryptocurrency cause now this makes any and every information with or without consideration a very debatable thing as long as it is cryptographically stated I don’t think that the notion of the government was to stop cryptographic messages information and codons why because it forms the name part of our private conversations if that is to be banned then this act or proposed to the documental alleged bill will have repercussions which may be very serious I don’t think so that the Indian government would ideally want to have this interpretation of cryptocurrencies let me just skip over let me just skip over and see what other nations are stating crypto currencies as have dimension terms like information codes numbers no vol the Economic Forum stated that crypto currencies if I can just pick up that definition of world economic forum it simply states that the definition or it states in one of the documents which is available on v4 m dot o-r-g and it says that cryptocurrency is a cryptographic methodology of transacting assisting in financial trading it does not mention information are you saying are we saying that every cryptographic information code message number can be interpreted in light of crypto currency other lotion currency and we know that the government in past whatever little officially correspondences that they have done they have never stated crypto currency we don’t we don’t expect Indian government to come up stating that crypto currencies are legal tender we don’t expect that but at least a definition of assets should have been mentioned in this draft which is not there that’s one the other thing of course is the meaning of digital rupee perhaps they’re talking about digital ledger and they are talking about foreign digital currencies again that’s a debatable topic I think they are recognizing other crypto currencies or crypto assets which might be backed by some stable coin or maybe the national currency of some country they will recognize that and don’t recognize other crypto currencies and obviously I think the most controversial part is Section eight which mentions that you cannot hold you cannot trade you buy sell mine those things are there and of course it also mentions section line which bloomberg quite actually stated but it was only a small screenshot of the full document and then of course mentioned ten years terms but again talking from talking from a positive perspective amongst other offenses and other culpable offenses that it states and the penalties that are there but think what what one one clause that really stuck me was that it is still allowing crypto currencies to be used for the purposes of research it mentions that you can actually conduct researches in the field of cryptocurrency what is very interesting is that say for example there is a college professor who does conduct some trades just and creates a maybe a new coin for purely research purposes maybe get registration under the Income Tax Act for scientific research gets a certificate as well generate certain coins what happens to those coins will he sell it will he be allowed to sell it who are the people who will purchase and procure those coins what happens to those people who purchase on for Coronas coins who are aliens now the positive from here is that Indian government still wants to see what happens if we allow some research in this field is this the first step towards unboxing this how about we approach it say instead Indian Institute of Technology maybe incubating a small cryptocurrency project there and see how it goes under the regulations of the Indian government it is true that there have been scams in the past and it is true that say access to public money through crypto currencies and ICO was a very scary term so access to public money should not come without public responsibility which is correct but coming up with these things that even the holding of crypto assets through legitimate sources of income which the person is willing to disclose in his income tax return that is equivalent to doing a research using bank balances to then convert cryptocurrencies at the time where it was still available today when the marker is down you forcibly ask them to sell it the question is who will buy it do you expect Indians to sell it abroad will the entire entire Indian population sell this thing abroad and will that not violate them oh of course we have one of the answers from the Reserve Daxton that fem our laws do not yet apply to cryptocurrencies that was from Reserve Bank of India what is very interesting when I talk about Reserve Bank of India is that one of the adjudicating authorities that is mentioned here in 30 dual appropriate regulator also mentions Reserve Bank of India very interesting because Reserve Bank specifically stated one of the right to information applications that they have no knowledge of any such Act bill being discussed or tabled now if they are one of the regulator’s how is it that they are not aware so let’s presume that this is a document which throws open quite interesting debates but the very core definition of cryptocurrencies is so massively different from what the interpretation of other governments World Economic Forum organ type organizations have leave alone the options of say Japan it has a far more mature definition of cryptocurrencies so I would say that let’s just state this document as a good document for debate also on conservative basis let’s take this as an opportunity to conduct more deeper research I talked about ramping up the efforts one of the methods of ramping up the efforts in this regard in this industry is to conduct research right white papers somebody to the government we have started a signature campaign and you’ve got about twenty five hundred signatures how about now how about now using those letters sending it to the government stating that this is the benefit that we can derive from Curtis I will be writing i’m reading a printout of that letter that i had stated writing physically signing it sending it across to Ministry of Finance we are trying to partner with someone where and we can carat say he printed he digitally sign something that and then send it across to the government in case you have any other options available any other methodologies where and we can use technology and send it across to the government we want to send maybe 2,500 signatures and let us do the government through inbox is this someone was suggesting that you can actually get a service where and you can take a printout and they will courier that document to the government that is what is needed and research well I was I was very excited when I saw that you can actually even if this becomes an act you can actually allow research based cryptocurrency projects going to exist in India that’s so wonderful if that happens that’s a very wonderful opportunity for us to call all the projects as experimental research base for the quotes wrong in that because the entire industry currently is still on research base that is too early to call it a mature technology also does not mention anything about blockchain so I think it would be incomplete to save that cryptocurrencies without block chains of block chains without cryptocurrencies would actually exist I would still reserve my final thoughts on this thing about the about this entire act becoming it this entire alleged document becoming a bill and then become an act final answer what should I do if I still hold certain kryptos I would say well model keep holding it no nothing stops you trade it however always exercise do you reinsert the caution what we can do is that perhaps on a conservative basis we can use this document as an opportunity for us to ramp up our efforts to maybe call it a research project call every project that you’re doing in crypto currencies as a research project and then it is it is perfectly fine even if it bill later on and we try to talk to the government and see what their comments are about these so-called research projects and characters and what happens when you generate kryptos out of these research projects so those are my thoughts we will try to come up with maybe some more details about what this document is it’s a 16 page reading page document and what happens to Indian economy if this is actually accepted on as is basis what is impact will it be negative will it be positive and how will the global world look at India if this actually becomes the act that will try to cover up in the next video in case you’ve got any comments to share I would like to know your thoughts about it and let’s see how this thing goes forward looking forward to July 23rd for the Honorable Supreme Court hearing let’s see how things go there as well thank you so much for watching do subscribe and like thank you

42 comments

  1. Seems thy want to shutdown all internet commerce because almost all communication on internet uses cryptography…

  2. Hmm, wow, how can someone be so stupid? According to them everything is crypto on cyber space, cause everything is encoded in one or another way. Caesar was smarter than them #DawnofApes

  3. Basically Govt wants to keep the power in their hands only. Therefore they are frightened by the decentralized Cryptocurrencies and Blockchain Technology. If digital Ruppee they are going to introduce then for sure it will be centralized.
    Hope this is not the actual bill govt Ali's planning to introduce. Still no comments from any official so just wait and watch till next hearing…

  4. Mr Varun beside other, we need to educate positive knowledge to our leaders of
    opposition parties to raise voice in parliment about the advantages of
    this technology & need of positive crypto space as an opportunity
    for new startups , opportunies of jobs/ employment for youth

  5. the government bodies stated that cryptocurrency is used in terrorist activities so we can ban it….
    but terrorist also used mobile phones and other communication channels to communicate. So the government should also ban the use of mobile phones and other channels……

  6. Mr.Advocate,if u will make a vdo in hindi that it will be huge for us n u.bcoz of we r hindi ppl.so wakil saab smjhe…👍

  7. Govt should ban whatsapp facebook google and mobile phn also becoz terrorist are using this also.. madarchod maa ki chut govt ki

  8. सर हिंदी में वीडियो बनाइये न, इंग्लिश समझ नही आता

  9. Gud information sir….when all people saw negatives in draft bill but you shared different ideas from others,that makes me little bit hpy from u…keep going on sir…

  10. Sir I have a quarie
    . If the government is in the favor of banning the cryptocurrency in India then why would sbi kotak mahindra and yes bank would sign a contract to use xrp for cross border transactions . When rbi is the regulatory agency .than how can they allow these Indian banks to sign up with xrp.
    I think there is something going on behind the scenes. .

    Even fatf presented In g20 summit about regulating cryptocurrency which was also attended by mr .modi

  11. Draft Bill was Explained superab.but explain the bill was in Hindi words so mutch better.next time please explain in Hindi.thanks for sherring 👌very yousfull information

  12. Vakil sahab Aap ek bade or reputed lawyer he blockchain ke Aap government ko crypto ke positive points batao jo ki simple language Ho or wo unko samaj aayenge wese explain karo.. Konse or kitane Desh me bitcoin regulations he Ye batao..uske future benefit batao..aagar india me crypto ban honga Honga to uski wajahse kitane logo ka nuksan hoga kitane or unemployed log honge or ye ban karke hamare Desh ki reputation kitane kharab hongi world me ye sab bate Aap government batao..NASDAQ FEDILITY NYSE BAKKT ye trillions dollars ki company crpto me interested or invest karenge to Usake bare me government ko batao logically or proof deke ye sab bate Aap court me rakho..government kahti he crypto volatile he to share market Bhi he to usako bhi ban karo phir Ye bhi baat Aap government ko batao..or terror me bitcoin se pahle bhi funding hoti thi to aab government crpto ko doshi na bataye Ye sab logically batao unpad gavaro ko..

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