Following the Chinese Giant Step, Indian government decides to ban cryptocurrencies in the country [Here is the complete RBI Statement]. Let me clear one congestion bottleneck here. Indian Government doesn’t own Bitcoin. It can’t ban Bitcoin. What Indian Government has done is, make INR to BTC conversions and vice versa illegal by applying blanket ban on banks.
Step 1: Move your money to other wallets outside India like Blockchain Wallet or store your Cold Wallets or Paper Wallets which are much safer for long term.
Step 2: If someday in future, I would want some INR, I will convert my BTC coins into USD and then convert USD to INR and have them transferred to my bank account.
Simple Solution for Savvy Traders & Investors is LocalBitcoin.
Local bitcoin concept is exactly like OLX or Quikr. You buy or sell Bitcoin directly from the person, and no Government can stop you from meeting a person. They can block the website, but you can download plenty of VPN software from Google Chrome store to bypass the wall. Localbitcoin acts as an escrow for you and ensure no cheating occurs on the platform. You can take money in Paytm, Cash, or Bank from that third party.
Cryptocurrency ban in Pakistan is not proving to be as effective as expected as traders are finding alternatives to trade crypto rendering ban to be fully ineffective.
The State Bank of Pakistan (SBP) issued a circular on the “Prohibition of dealing in virtual currencies”, right after a similar measure by the RBI, the regional rival. Unlike their Indian colleagues, who gave banks and traders three months to comply, Pakistani central bankers imposed the ban with immediate effect.
Local Bitcoin PKR Spikes after the Ban
The chart of the weekly Localbitcoins volume from Coin Dance shows, trading has spiked after the release of the circular. It peaked in the week of April 28 to more than 163 million Pakistani Rupee (>1.4 million USD), almost reaching December-January all-time highs. The price of Pakistan’s first and only cryptocurrency, Pakcoin, which was explicitly mentioned in the SBP’s prohibition, has also jumped – by over 60% since the ban.
The Reserve Bank of Zimbabwe (RBZ) imposed a ban on all cryptocurrency related activities in the country. All the financial institution under its jurisdiction was given a 60 days period to comply. The ban came amidst a notorious history of hyperinflation that even led to an economic meltdown of the country less than ten years ago.
Did I miss anything? Let me know about them in the comments!