India’s Local blockchain legal experts are talking about draft legislation that will allegedly impose a ban on cryptocurrencies. Apparently, the bill suggests no crypto but ‘Digital Rupee‘ will be valid in the country. The Central Government will allegedly approve the RBI issued new crypto Digital Rupee.

A tech lawyer, Varun Sethi’s published unverified document contains the draft bill, dubbed “Banning of Cryptocurrency & Regulation of Official Digital Currencies“. The document defines cryptocurrencies as “any information or code or number or token that is not a part of any Official Digital Currency, generated through cryptographic means or otherwise, providing a digital representation of value“. The bill will allegedly have no place in Parliament’s monsoon session.

The prohibition completely bans any interaction with cryptocurrencies, including mining, or even holding at all. The penalty for violating the prohibition would be either a fine or up to ten years’ imprisonment, or both. Recently, the Reserve Bank of India (RBI) is reported to be developing a blockchain platform for banking in its R&D branch.

Thanks to the new regulations, the infamous Facebook crypto is not planning to launch in India. The stringent regulations also forced many crypto exchanges to stop their operation such as Koinex. Banks have become strict regarding accepting crypto payments due to RBI’s strict warning. RBI has so far denied any knowledge or involvement in the drafting of such a prohibition.