Why Indian Cryptocurrency Exchanges Must Fight Against RBI's Mandate!

in #india7 years ago

Let's face it, cryptocurrency prices in India have been shaken up badly in the last few weeks. We used to constantly remain on par if not 3-5% higher than international prices until 6th of April and now we're constantly 3-10% below.

RBI's ruling had a devastating effect in the first few days of its ruling before things settled down eventually. Prices for purchase and sale are lower today than it was before and volumes are down as well. It doesn't help the market that one of the top Bitcoin exchange 'Coinsecure' is currently inoperative after their Bitcoin theft incident.

Suffice to say Indian cryptocurrency market is in a bit of a trouble. We've got our work cut out for us. But, we'll get through this in the long run.

Thugs of India

Reserve Bank of India on the 6th of April decided to impose an oppressive mandate preventing any of their regulated entities from rendering services to these exchanges or businesses dealing in cryptocurrencies. Bankers obliged.

Many bankers have been tightening their noose around exchanges for sometime. But a few banks are currently rending services to the exchanges which has kept things moving. These draconian laws and mandates need to be stopped. Banks need to first prevent scams and frauds instead of chasing easy targets like crypto-exchanges.

Bankers forget that 'our money is not bank's money!' They are just custodians of our money. They just hold it for us as a middle man of trust. The money in its entirety is ours and our alone!

This important fact is completely ignored and often forgotten by these thugs in power. Preventing the citizens to exercise their right to invest in financial instruments of their choice is unconstitutional.

RBI's Irrational Concerns

A lawyer Yusuf listed out the following points and they need to be considered by each of us and all of the exchanges in our fight against the RBI. It
points out some facts in the case and tells you why in someways how our exchanges have a case against the RBI and they can fight it out.

Luckily for us, pCoinRecoil is already doing that in the Delhi High Court and the next hearing is scheduled on the 24th of May. There's a lot at stake. P2P exchange outlets have existed since forever now but the prices in p2p exchange generally suck.

Haste makes waste

There's no better way of putting it across. I've come across various Steemians who have exited their positions in cryptos they held out of fear of RBI's decision and incurred big losses due to their haste.

This battle will continue as the government machinery itself is in two minds about banning cryptocurrency. One part of the government wants a ban on trading but other wants to regulate it. We'll just have to wait and see which way the pendulum swings.

Exchanges in the meantime have options to register themselves abroad and some have done it in Singapore and Estonia. This allows them to carry on certain operations or render p2p services without being in the jurisdiction of the Indian government.

Now it's a matter of time before we know how things go. Hold on to your tokens and don't sell them just yet. The market is turning around and if you can brace these difficult times you are likely to come out on top at the end of the struggle.

Link to Petition!


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Many exchanges and crypto businesses are starting to find out the hard way that playing nice with the regulators and governments is a losing proposition.

On the plus side, the true colors of the bankers and crony capitalists are now in the open for everyone to see! The importance of this can't be understated.

Decentralize, or die!

I am just holding my cryptos and hoping for all the best.

They want to ban it but they can't you know why, seeing cryptos make their mouth watered.

Banks are real criminal of world they looting peoples with peoples money .

modi koi acha kaam ni krega

I don't understand why in a country where there is such a lack of jobs n opportunity, new doors are being closed. It's Sad.

Thanks for information
Your post is upvoted & resteemed by @arvindkumar

They will put a logic, like "cryptocurrency " might be used for money laundering or terrorist activities. They don't see the scope and innovation.They see only the bad things.

These are the kind of posts I want to see on steemit! Solid article kudos! Resteeming and upvoting.

This will be dragged on forever. Such cases take up time of the court and are not at all important since a very very small minority of people are affected. Secondly, the govt will not come up with any regulation anytime soon. This is the pre-election year with important state elections this year. They will wait for regulations to be developed overseas and then they will borrow it. Till then they will throw out nonsense like adhaar data on blockchain.

I am not affected by this since i live overseas but this is extremely tragic. I hope RBI gets a slap on the face from the high court.

they need to understand each other and know the right channel to go about it thanks for the infor sir firepower

Banks - Thugs. A very apt analogy.
The banks really just are custodians. The thing is that in a traditional culture like Indias', the banks still hold the trust of it's citizens. Until a major melt down occurs I am not entirely sure if the people will ever wake up. But those who are awake now are in a position to lead the tomorrow - that is as great an incentive to get into cryptos as it is ever going to be.

Maybe this is where people like us have a chance to move to a country supporting cryptocurrencies.

I would say Australia or Europe would be far better than India.

We can always work on situations and make things better for us.

I wish they would just figure out that they can't beat or stop cryptos!

You are absolutely right, these money are not their money, they are only a middle man ,but I don't understand they behave like a owner of our hard work money. From the behavior, One can understand how the people of India deprived from enjoying the fundamental rights.Thanks for the great share, let see, where is the final verdict of high court.

In germany the banks matter goes some steps further, as when the bank deals into the red then the goverment tends to jump in and help the banks.
The taxpayer always pays the price at the end.
good luck to you in India and keep going for the wright of humanity and self-determination.

Agree @firepower bankers are jist the qustodian.....with each day the scenario relating crytocurrency ia getting darker. My intution do say that the ban will be takn off as many big players is looking to launch their crypto ...so we only need to be calm and positive.....

Banks need to first prevent scams and frauds instead of chasing easy targets like crypto-exchanges.

Leaving major targets and chasing crypto-exchanges will not be of any good people are using these crypto-exchanges each other time ,this makes efforts to chase these exchanges in vain,there is need to focus on the major targets , fraud, scamd,name them.
It's Like "chasing rain out of the country, which is impossible because you ain't the one providing the rain"

Instead of banning cryptocurrencies, RBI should regulate this market and ban the fraudulent entities which are cheating people. Cryptos are product of new eras which cannot be stopped.
But it should not be forget that RBI has announced to issue government owned cryptocurrency in India. In my opinion government owned cryptocurrency will have devastating effect on citizens' freedom as then government will be able to track every person and if it finds someone as an adversary of it, it may blockr that persons every financial resources. Hence, a new form of dictatorship can begin with this step.

I don't envy them, it is not easy to fight back against the government of your home country. Registering in other jurisdictions does sound like a good starting move.

I sure hope things get better

I'm hopeful that India will adopt Cryptos. If not today may be after 5 years. I'm not selling even a fraction of any of my holdings. May be will just move all to a hardware wallet and reserve it as an old age fund.

Bro you just write the word with my mind. I too want to ask the RBI that you can't handle the bank fraud then how can you impose law on something in which public has interest.

They are not able to stop big scam by Mallya, Modi etc. If we forget these big scams then still scammers looting innocent people over phone and withdrawal money from there account.

You can't catch that scammer. Shame on RBI for not performing well.

If someone is affected by disease then you give him a treatment or you will kill that person.

Same way if you are facing problem in cryptocurrency then deal with instead of killing it.

Illiterate government and RBI

The price is damn low. I Wonder why those entities don't want the poor make their own. RBI again.

I like to read your topic writen on cryptocurrency because I just want to know what is happening in the cryptocurrency market in India. "Our money is not banker's money,they are the castodian of our money."I am sure you are right at this point. But I personally feel that people may invest their black money in cryptocurrency to make it white. It may be one of the reason for RBI's concerns.

thank you for the information and the insight.
'our money is not bank's money!'- truly spoken

Valid points. Hope the things get better soon and RBI changes policy.

Thanks for information ,great post@!!

Thanks for the info @firepower

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