The much-awaited newly announced cryptocurrency, Libra, is unavailable in India because of the present restriction of block-chain based currency transactions, says a recent report of The Economic Times on June 20
To inform the citizens of India, the report states that RBI (Reserve Bank of India) didn’t grant the permit of operating Libra, the latest digital currency in the country and refused leading social media platform Facebook for the same.
The same sound has been echoed by a Facebook spokesperson that the e-wallet, Calibra won’t be available for access to the countries who don’t allow other digital currencies. This eventually prevents Facebook to get the desired popularity in the global market since it is losing a large base of potential users of this latest release due to these monetary restrictions of the governing body.
The Economic times says that RBI has neither confirmed nor denied the claim of Facebook on this matter.
Founder of tech-focused local law firm Ikigai, Anirudh Rastogi says that RBI could have avoided the concern about the Libra from Facebook in case the project could be operated in Peer to Peer (P2P) market chain.
Contradictorily, if the newly launched cryptocurrency could get access to interaction with the outer economy, it would be “exactly the kind of digital assets that concerns RBI”.
Facebook pronounced the Libra project on 18th June this year. As per the notice, Libra won’t be fixed to any one of the national Fiat currencies. Also, users won’t be able to convert the currency to cash asset against a fixed cost of the selected Fiat anytime. The written objective of launching this digital currency is volatility minimization.
In the meantime, The Government of India is on a mission of banning the cryptocurrencies. As per the local news, if there would be simply a proposal of using cryptocurrencies, then the citizen will be penalized with a minimum of 10 years imprisonment. However, the RBI has issued no letter of legislation about banning the cryptos forever yet as per the sources.