Crypto Bill to Ban Private Cryptocurrency: It was on October 2008, a paper was issued by Satoshi Nakamoto, it was stated that a version of electronic cash will allow payment to send directly from one person to another person without involving any other third party.
US Dollar is controlled by the central bank of the United States and the Indian rupees by the reserved bank of India unlike that cryptocurrency is independent of any other third body like any central bank or any financial body.
In today’s date like on the normal stock market, shares are traded just like that trading is done on cryptocurrency of worth lakhs and crores on its crypto exchanges.\
Why Crypto Bill To Ban Private Cryptocurrency?
The Cryptocurrency is Divided into Two Bodies-
A) Public cryptocurrency
B) Private cryptocurrency
Let’s discuss the difference between public cryptocurrency and private cryptocurrency-
What is Private and Public Cryptocurrency?
Cryptocurrency transactions pretty much take place using blockchain technology.
The transaction which can be traced or in which that details of transactions can be accessed is called public cryptocurrency. While private cryptocurrency uses anonymous blockchain transactions i.e the transaction details cannot be accessed or traced.
Here are some private cryptocurrencies listed below:-
A) Monero – Decentralised cryptocurrency
Supply limit – Unlimited
B) Zcash – bitcoin’s codebase
Supply limit – 21,000,000
C) Dash – Open source cryptocurrency
D) Horizen –
Supply limit – 21,000,000
E) Verge – Decentralised open source
F) Beam – confidential cryptocurrency
Supply limit – 262,800,000
Now, which cryptocurrency will be banned in India?
This is a very thick question at the moment because the government had not clarified yet what they are calling private cryptocurrency.
According to the definition, all the currencies that are not issued by the government are going to be considered private cryptocurrencies.
Why Private Cryptocurrency Ban in India?
Apart from the issues of anonymity and untraceability which come with private coins, the digital crypto bill also aims to ban private cryptocurrency to make way for the official digital currency which is going to be introduced by the reserved bank of India.
The government is also very concerned about the underground transaction which is taking place against cryptocurrency. Hence, The government is planning to ban all the private cryptocurrencies and pass a law of rules for the cryptocurrency.
The prime minister further said that all the nations should work on it and, make it work in a proper manner. This should not go into the wrong hands.