The CEO of Indian cryptocurrency exchange WazirX is urging local traders not to panic over a bill to ban cryptoassets.
It was recently revealed that the Indian government will consider a bill banning private cryptocurrencies while laying the groundwork for the launch of the digital rupee. After this information appeared, local traders began to massively sell their crypto assets.
WazirX CEO Nischal Shetty
commented on happening, urging traders and investors not to rush to sell cryptocurrencies. In addition, he recommended that users study cryptocurrencies in more detail so that they do not have doubts about their capabilities.
“From the outside, many people see cryptocurrencies as an alternative to regular money. This is the first thought that comes to their minds, and if they start delving into the field of cryptocurrencies, they think of them only as a means of payment, “Shetty said.
He explained that digital assets can be used not only in the payment field. Regulators rarely discuss other use cases for cryptoassets, NFTs, blockchain-based games, and decentralized applications. Shetty reassured users that regulators won’t be able to ban cryptocurrency games, and the new rules won’t take effect overnight.
Shetty recalled that this winter, information has already appeared about a complete ban on cryptocurrencies in the country. Indian authorities also planned to ban trading on foreign cryptocurrency exchanges for Indian citizens. Traders also began to sell assets in a panic, which, as a result, lost 15-20% of their value. Now a similar situation is happening, Shetty is sure. He suggested that most of these sales are made by newcomers who have been trading digital assets for about six months. Cryptocurrency traders with years of experience are less susceptible to hype, since negative news appears every six to eight months in the world of cryptocurrencies, leading to panic in the market.
In March, WazirX, together with other Indian exchanges, sent a document to the government with proposals to regulate the cryptocurrency industry and outlining the possible consequences if the bill to ban cryptoassets was passed.