Tim Draper: Bitcon ban in India creates more corruption

Speaking to California’s Indica media platform on 31 October, Bitcoin’s advocate and venture capitalist called on Prime Minister Narendra Modi to reconsider the current hostile attitude towards crypto.

 

Draper to Modi: No more “old habits” again

In 2018, India banned its banks from offering services to companies in the industry. Government think tanks are now recommending a complete, crackdown on the ownership and use of crypto. Last month, a court dispute over a final decision on this issue was adjourned.

“I hope Modi will become the honest politician, but when he banned Bitcoin, I thought he would revert to old habits,” Draper said.

 

Threatening increase in corruption

It is still unclear how the Indian state would implement a crypto ban if such a ban were to come into force. Cointelegraph reported that the country’s catastrophic 2016 currency reform contributed to rising demand for Bitcoin. With this reform, some banknotes simply became worthless overnight.

Proponents of the ban argue that crypto currencies support criminal activities such as money laundering. The reduction or total abolition of cash, on the other hand, would allow a more transparent economy.

Draper also praised the concept of monetary reform, but added that a ban on Bitcoin would promote corruption rather than fight it.

“I think this is a good step. He wants to eradicate corruption and tries to create a corruption-free state. But if he bans Bitcoin, he creates more corruption. I think it’s very dangerous for the country,” he added.

As Cointelegraph reported earlier, Draper had previously received mixed reactions as he made his views on India’s attitude to crypto increasingly clear.

 

In July, he described the Indian government as “pathetic and corrupt”.

Meanwhile, Delhi is very interested in Blockchain. Defence Minister Rajnath Singh declared on Monday that the technology had already changed warfare.