Officials told that there are other

economic issues which require legislation

in the Monsoon Session of Parliament.
While an outright ban maybe unlikely, it
is understood that cryptocurrencies may
be allowed as a tradable asset, like
commodities or art.
 Current Situation

According to data from crypto exchanges,

there are approximately 1.5 crore Indians
who have invested in cryptocurrencies,
holding worth Rs 15,000 crore, with more
and more people starting to invest. There
are 350 startups which operate in the
blockchain and crypto space.
 Dilemma

While a draft bill is ready, further deliberations

are still being held between the Finance Ministry,
Reserve Bank of India (RBI), banks and other
stakeholders. The government wants to take a
considered decision on cryptocurrency. It is
understood that while there will be no outright
ban on cryptocurrencies, they won’t be allowed as
legal tender either. Rather, cryptocurrencies are
likely to be treated as a tradeable asset class with
a market, ‘like commodities or art,’ as per
sources.
 Further Deliberation

A more important reason is, as far as the

government is concerned, is that regulation of
cryptocurrencies is not that high on the Centre’s
economic agenda right now. Policymakers
believe that while there are substantial
investments in cryptocurrency and the market
will only continue to grow, its impact on the
real economy is minimal right now.
 Conclusion

All this means that if the authorities do

finally decide to not consider Bitcoin,
Etherium and others as legal currency, an
exchange of cryptocurrency for goods and
services will be seen as a barter between
two parties rather than a transaction which
comes with the legal backing that a
sovereign currency provides.