Eyes of India Ban Irresponsible Crypto Ads – TechCrunch

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The Indian government “feels strongly” that advertisements for cryptocurrency exchanges that promise customers unbridled profits and are not transparent about the volatile nature of such trade should be banned, according to a note outlining the summary of a meeting between Indian Prime Minister Narendra. Ways and Saturday various stakeholders.

A consensus has been reached from several stakeholders, including New Delhi, that irresponsible advertisements are deceiving the nation’s youth and must be stopped, according to the memorandum shared with reporters.

In recent weeks, major cryptocurrency exchanges including CoinSwitch Kuber supported by Andreessen Horowitz and CoinDCX, backed by the B Capital group, launched announcements that many people found highly irresponsible.

Lawmakers in India, where there is currently no official framework to oversee cryptocurrencies and their trade, have held conversations with various stakeholders over the past few quarters to formulate a path for the industry to follow.

The move comes as a growing number of Indians are starting to buy Bitcoin and other cryptocurrencies for the first time in their lives. Several Bollywood stars, including legendary Amitabh Bachchan and Ranveer Singh, who has starred in many of the country’s biggest hits, have been promoting cryptocurrency trading in recent weeks.

For their part, CoinSwitch Kuber and CoinDCX have started podcasts and other collaborations with industry players to offer content that helps young people make informed investment decisions.

Lawmakers in India have also expressed concern over the potential misuse of using the cryptocurrency exchange vehicle for money laundering and financing of terrorist initiatives.

To stem this problem, government officials have indicated that they may require cryptocurrency exchanges to perform a full KYC of their clients. Most cryptocurrency exchanges have preemptively complied with this advice, and some have prohibited users from moving their tokens and coins to private wallets or other exchanges.

But this could be the extent to which the Indian government plans to get involved in cryptocurrency at least in the near future.

A high-profile politician indicated to an industry executive earlier this month that the country will come up with laws that welcome innovation around blockchain technology and is open to foreign investment in local projects, a person he knows told TechCrunch. directly the question.

The government’s belief in such a potential move has grown stronger in the wake of the Chinese government cracking down on cryptocurrency transactions, the person said, asking for anonymity as the matter is private.

In Saturday’s note, it was reported that the government is “aware of the fact that [blockchain] it’s an evolving technology, so the government will closely monitor and take proactive measures. “

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