If India does proceed with the proposed ban on cryptocurrency, the country is expected to lose an estimated $13 billion market.
A research expert in the crypto industry has just come up with a grim forecast about what might happen to the country if they put a complete ban on crypto. Sidharth Sogani, the CEO of Crebaco Global Inc, a known crypto and blockchain research and analysis company, has predicted that India will likely lose $12.9 billion or 84000 crore INR worth of crypto market if they proceed with the ban on cryptocurrencies.
Sogani said that they come up with the figure by calculating approximate revenue of the Indian crypto market or what different crypto projects and firms could potentially achieve if crypto was legally allowed. The companies include those which have already chosen to relocate away from India because of the Reserve Bank of India’s unfavorable stance about crypto.
According to Crebaco’s estimations, the crypto whitepapers and all the relevant business plans account for a whopping $4.9 billion on their own already and $1.27 billion is received from content writers. Almost 3500 Blockchain coding experts working on different blockchain projects contribute another $2.1 billion.
Other miscellaneous job opportunities arise as well. As per their estimation, they contribute somewhere around $4.5 billion which come from bloggers, blockchain professionals, rents & leases, legal representatives or advisers, and media houses and event managers.
Some time back, rumors were afloat that the government of India was planning to impose a complete ban on cryptocurrencies. However, on July 22nd an official report came from the inter-ministerial committee which governs crypto infrastructure in the country which proposed a type of blanket ban. The report was propagated only a day prior to the hearing on crypto at the Indian Supreme Court. Even a draft bill also accompanied the said report.
Quite expectedly, the members of the crypto community opposed the bill as they had already been trying to signify technology’s importance and how it can impact the Indian economy. The bill labeled “Banning of Cryptocurrency and Regulation of Official Digital Currency Bill, 2019” particularly allows the blockchain and distributed ledger technology use in the country. However, it also proposes a ban on all sorts of crypto-related activities in the country.
Sogani has expressed shock to see this bill being propagated because he also participated in a team effort to convince the Indian government about cryptocurrency’s positive implications.
“We have submitted several reports to the Indian governments as well and have consulted [the] Ministry of Finance (MoF) through presentations and reports. In spite of all that, it was surprising to know the draft bill news,” he noted.
Regardless of this bill, Sogani believes that it’s impossible to ban cryptocurrency in a country of 1.3 billion people.