Crypto prices in India tumble after crypto bill announced

Following the unveiling of a bill that would prohibit all private crypto, the token values on the Indian crypto exchanges collapsed.

Panic selling on major crypto exchanges resulted from regulatory debates in India over a crypto ban, resulting in large price drops on popular cryptocurrencies such as Bitcoin (BTC) and Ether (ETH) (ETH).

Cryptocurrency prices in India plummeted after the Indian parliament announced that it would introduce and list 26 new bills in the Winter Session, including the Cryptocurrency and Regulation of Official Digital Currency Bill, 2021, which included the Cryptocurrency and Regulation of Official Digital Currency Bill, 2021. The bill wants a parliamentary vote on creating an official digital currency while prohibiting “all private cryptocurrencies” beginning Nov. 29.

A massive sell-off at 3:30 a.m. UTC on November 24 slashed the price of Bitcoin from over Rs. 4,600,000 ($61,820.73) to Rs. 3,917,659 ($52,650.55), a decline of –14.8 percent in less than two hours. Other prominent coins, including as Ether and Cardano (ADA), have also had double-digit price declines on the platform.

A massive sell-off at 3:30 a.m. UTC on November 24 slashed the price of Bitcoin from over Rs. 4,600,000 ($61,820.73) to Rs. 3,917,659 ($52,650.55), a decline of –14.8 percent in less than two hours. Other prominent coins, including as Ether and Cardano (ADA), have also had double-digit price declines on the platform.

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CEO Of India Crypto Exchange WazirX Nischal Shetty told that the Indian cryptocurrency market often trades at a premium to the global market:

“The Indian market has corrected and prices have returned to the global level as a result of this panic selling incident.”
Shetty also discussed the many uses of cryptocurrencies as an asset or service, citing former Indian Finance Secretary Subhash Chandra Garg’s remark that “there should be a limitation on the ‘currency’ use case of crypto,” if any exists.

The need for a sophisticated approach to regulating crypto assets in India, according to Jay Hao, CEO of crypto exchange OKEx:

“India has the world’s greatest number of cryptocurrency owners, and it is the government’s responsibility to defend the interests of a significant number of crypto investors in the nation.”
“This restriction won’t work in the long run and would be a step backward,” BTC Markets CEO Caroline Bowler said of India’s crypto prohibition, adding that “banning is not an option to safeguard investor interest.” According to Bowler,

“The thing with cryptocurrencies is that, while governments may try to restrict it or contain it, the technology’s decentralized structure prevents this.”
Shetty says that Indian innovators should have trust in our legislators as the last piece of advice. “Let’s not get too worked up,” he said.

This follows a legislative panel session on cryptocurrencies on Nov. 15, in which a majority of regulators agreed that, while crypto cannot be halted, it should be strictly controlled.

The Reserve Bank of India said in August that it planned to begin exploratory testing for a central bank digital currency by the end of 2021. With over 20 million crypto investors, India is now one of the world’s largest marketplaces.