Reappointment of Indian PM Modi may lead to stricter crypto regulations

Local analysts expect that the reappointment of Narendra Modi as the prime minister of India would sustain the current opposing stance of the government towards bitcoin and other cryptocurrencies. The Reserve Bank of India (RBI), the central bank of the country, initially banned crypto exchanges in early 2018 and in July of the same year, India's top court sided with the RBI in maintaining the ban. In April 2019, a committee under the Indian government proposed a bill entitled "Banning of Cryptocurrencies and Regulation of Official Digital Currencies Bill 2019," solidifying the stance towards cryptocurrencies by the government of India.

“It is not unlike India to take the drastic measure of implementing a complete ban. We have seen such instances happen in the past as well. However, it will be detrimental for India if such a step is taken," said Sathvik Vishwanath, founder of India-based crypto exchange Unocoin, indicating that it would not come across as a surprise to local investors if the government of India moves forward with an attempt to strengthen its ban on crypto trading.