You must be reading this post because you may have invested some of your money in cryptocurrency, isn’t it!
Many countries have banned cryptocurrencies, and many have legalized them – click here to know more.
But as an Indian, you may have several concerns about what to do if cryptocurrencies are banned and what things you can do to save your money?
If cryptocurrency bans, you can convert particular crypto into USD and send it into an exchange or wallet and withdraw it by paying a certain fee. Make sure you use a trusted wallet or business such as Binance, gate.io, coin desk, etc.
How government can ban cryptocurrency?
At presently, more than 10-12 cryptocurrencies wallet and exchanges are in India. So presently in India, there’s no law made on cryptocurrency, and hence they not legal tenders. Which means you cannot buy anything using cryptocurrencies.
And if you have hold any crypto, you know how you have purchased it. Right!
Currently, in India, you can buy crypto by converting rupees into your favorite coin, such as bitcoin or etherium.
But if the government bans it, you will not be able to purchase it using INR or rupees. But still, you can hold the crypto until the government makes a law on this.
What are private cryptocurrencies?
All cryptocurrencies are private because any government organization does not make them, and no one controls them.
But technically, private cryptos are those whose wallet address is hidden or changes from time to time. Due to this, it is tough to track the transactions address.
Here are some private cryptocurrencies and tokens that cannot be tracked.
- The bottom line.
These are some private cryptos whose’ addresses cannot be tracked. To know more about me,t you can read it here.
Tips to know to save your money if crypto is banned.
Don’t do panic selling.
Don’t sell your holding as soon as you hear the news of any ban takes at least 2-3 weeks because the government can make some changes.
Change your cryptocurrency exchange.
If any crypto exchange has stopped the services to withdraw the money you can transfer your crypto into another exchange. For example – India crypto exchange WazirX to Binance.
Wait until to cover your loss and make some profit.
If you want to hold the crypto after the ban you can hold it if the law permits you to do so and wait for 2-3 months to let the market be stable.
Can market crash after cryptocurrencies are banned in any particular country?
If the government bans crypto in India, it is obvious to see a market crash as there will be a situation of panic among people.
What to do if the government of India bans cryptocurrencies?
There are 300 – 400 million people worldwide who all have invested in cryptocurrencies, and out of that 100-150 million are from India. So before deciding to ban digital currencies, the government will give people a time slot for 3 – 6 months to sell their digital currencies.
If the government bans crypto entirely means you can buy, hold, or do transactions, it means it’s game over, and you cannot do anything as meaningful exchanges would shut down. But I think this will not happen.
But if the government only bans crypto thru buying with Indian rupees, then here’s what you can do.
- First of all do not panic sell means as soon as the market starts to crash do not sell you holdings.
- Wait for a week and let the market be stable and then you can sell or convert your crypto.
- Make sure do not pusrchase any private tokens or cryto as I have mentioned above.
Does cryptocurrency have a future?
Cryptocurrencies definantly has a future. They are the one the best mode for digital payments methods and certain countries started using them, such US, Japan, Canada, and El Salvador became the first country in the world to declare it as legal tender.
Other than that, cryptocurrencies run on blockchain technology which can be helpful in things like.
- Protection of copyrighted digital materials.
- Manging internet of things network.
- Tracking and keeping medical and financial records.