Crypto Prices Recover Today After 15% Fall Over Govt's Proposal To Ban Private Players

Bitcoin, the world's largest and most popular cryptocurrency was last trading up 9% at Rs 45,44,500, while Ethereum was up 9.91% at Rs 3,46,350.

(Representative Image/Getty)

Mumbai: Leading cryptocurrencies starting from Bitcoin to Etherium and Dogecoin to  Shiba Inu have recovered from the 15% fall yesterday on the back of the government's proposed Bill to ban private cryptocurrencies in India.

Bitcoin, Etherium, Dogecoin, and Shiba Inu were all trading up 10% on Thursday.

Bitcoin, the world's largest and most popular cryptocurrency was last trading up 9% at Rs 45,44,500, on WazirX, India's leading crypto exchange. Similarly, Ethereum, the world's second-largest cryptocurrency was up 9.91% at Rs 3,46,350.

The government will bring in the Cryptocurrency and Regulation of Official Digital Currency Bill, 2021, in the Winter Session of Parliament starting November 29.

The bill aims to ban all but a few "private cryptocurrencies" while allowing an official digital currency by the RBI.

According to Zebpay, Bitcoin, Ethereum and other such token holders, breathe a sigh of relief. You are safe. These are completely public cryptocurrencies as they are built on public blockchain networks. Transactions are traceable, however, they are completely anonymous.

Private cryptos on the other hand may refer to coins like Monero and Dash that are private tokens. Although these are built on public blockchain networks, they conceal transaction information to provide privacy to users.

Last week, top crypto companies and players had a panel meeting with Members of the Parliament. The meeting ended with the conclusion that cryptocurrencies “cannot be stopped, and hence they must be regulated”. A blanket ban would not be an option considering there are over 10 crores, Indian investors, with total investments crossing Rs 6 lakh crore.

From a technology perspective, a regulatory ban would not even be feasible. Transferring crypto from wallet to wallet is at its essence no different from sharing files from one network to another. Taking these factors into account, the government will not proceed with a blanket ban.