There’s an expression, “the cat is out of the bag” which means a plan is revealed before anything could be put into action – whether denial or confirmation. This could be the case for that much-sensationalized news about drafting a law punishing those engaging with cryptocurrencies.
In truth, some GOI personalities’ negative perception of cryptocurrency is nothing new. Finance minister Arun Jaitley, in his budget speech on 1 February 2018, stated that the government will do everything to discontinue the use of bitcoin and other virtual currencies in India for criminal uses.
In early 2018, India’s central bank, the Reserve Bank of India (RBI) announced a ban on the sale or purchase of cryptocurrency for entities regulated by RBI.
In 2019, a petition has been filed with the Supreme Court of India challenging the legality of cryptocurrencies and seeking a direction or order restraining their transaction.