Garrick Hileman, head of research at Blockchain.com, shared in an interview today that Indian banks are showing interest in cryptomonies, but are also skeptical of further advancement in this space due to regulatory uncertainty.
Speaking to Data Quest, Hileman also hinted that Blockchain.com does not yet have a payment gateway in India for the same reason. But it is a target for the company, he added.
Earlier last week, during a webinar on Indian regulations, WazirX Exchange CEO Nischal Shetty also noted that Indian banks were interested in getting involved in blockchain and crypto-currency space. He said banks that approached WazirX for advice seemed specifically inclined to explore the case for using the technology in international transactions.
Indian Supreme Court lifts RBI ban on banks serving crypto-currency companies
India risks being left behind by other technology centres
In the last two years, India has already witnessed the failure of many blockchain and crypto-currency businesses due to lack of clear regulations and bank support. However, the Supreme Court’s decision to overturn the RBI’s banking ban has had a positive impact on the crypto-currency business in the country.
Addressing the same issue, Hileman said that while there has been some progress since the ruling, there are other regulators who still do not want Bitcoin Investor to be part of the Indian financial market.
Former Indian finance secretary talks with industry experts about banning crypto currency
Once these bodies accept crypto-currency and bring in supporting regulations, India „will see a proliferation of business, banking relationships, entrepreneurial activity, investment growth,“ he said.
According to Hileman, the current stance of Indian regulators threatens India’s growth in this rapidly evolving space, and „India risks being left behind other technology centers that are taking a more positive view of the multiple benefits of innovation in cryptomonics.
India leads emerging markets with record volumes in P2P trade
Not all officials are convinced
There are still hard-line anti-copy officials in India. The former Finance Secretary of India, Subhash Chandra Garg, has previously put forward the idea of banning crypto currencies altogether.
At a recent webinar with industry experts, Garg said the ban would only ban crypto coins insofar as they function as currencies. They would still be available for trade and investment, just like commodities, but should be regulated in a similar way.