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India: each bank to decide whether to accept or block bitcoin-linked transfers

The Reserve Bank of India (RBI), through the National Payments Corporation of India (NPCI), has left the decision to restrict or not to restrict the fiat money transfers related to the sale of bitcoin, according to your preferences.

According to a local media, the bankers of India made a call to the regulatory body so that the NPCI, a retail payment system, would block transactions related to cryptocurrencies , carried out on its network.

Such a decision, would affect Indian investors who make payments with bitcoin through the Unified Payment Interface (UPI) and RuPay, a platform of financial and payment services of the NPCI.

According to what has been reported, some banks have even created a “black list” of merchants who make transactions with cryptocurrencies.

A spokesperson for the regulator, explained that some banks They deactivated the accounts of users that use the Unified Payment Interface (UPI), banking and cards for the purchase of bitcoin. However, “operations continue to happen as many banks still allow it,” he added

The action taken by the bank commercial, would go against the ruling of the Supreme Court of India in 2020, which, as reported by CriptoNoticias, suspended the prohibition against the commercialization of cryptocurrencies, imposed by the Reserve Bank of India (RBI) in April of 2018.

India’s bitcoin industry believes there is a confusion

In the absence of legal clarity on the use of cryptocurrencies in India, some representatives of the industry, in that country, have spoken about the “confusion” that generates in the market as established by the RBI .

Such is the case of Nischal Shetty, CEO of the bitcoin exchange WazirX, who spoke out on social media, assuring that the «confusion in the Indian banking industry is damaging ndo »to investors’ finances. He also warned that banks are not complying with the regulations issued by the Supreme Court of India.

“I ask Indian banks to update their teams on compliance with the Supreme Court ruling that annulled the RBI circular against cryptocurrencies,” Shetty said.

In addition, considered it unfair that the cryptocurrency industry , despite having the approval of justice, does not have compliance with the laws by banks.

Shetty’s voice has not been the only one that has been raised regarding the prohibition of bitcoin and the rest of the cryptocurrencies.

Last March, Raj Chowdhury, president from the finance consultancy HashCash, assured that a ban on bitcoin would have “disastrous” consequences for the Indian economy, as reported by CriptoNoticias.

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Sandra Loyd
Sandra is the Reporter working for World Weekly News. She loves to learn about the latest news from all around the world and share it with our readers.

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