Disagreement of the Indian government institutions about bitcoin.

The Indian government disputing the regulatory laws for digital currencies such as bitcoin, a disagreement over what is the regulatory body going to be takes place. While the Reserve Bank of India promotes bitcoin as a commodity for the economy, the Securities and Exchange Board of India does not agree. Hence, the organisms of the Securities and Exchange Board of India (SEBI) and the RBI are fighting to see who will manage cryptocurrencies. Also, the SEBI does not support bitcoin as a positive aspect for the growth of the economy. 

The discussion now is not about the regulations themselves but about which Government Body Will be in charge of regulating Bitcoin and other popular and recent cryptocurrencies, this factor only generates a delay in the development and improvement of bitcoin exchange in India. 

On one hand, the RBI assumes that bitcoin is a security for the economy rather than a currency and that it must be regulated by SEBI. Moreover, the reserve Bank of India added that bitcoin should serve trading like commodity derivatives do. The RBI also recommended for SEBI to ensure that bitcoin must not be used for any illegal activities like money laundering or terror funding.

On the other hand, the SEBI has a different opinion than the one from the RBI. They consider that Bitcoin must not be understood as a commodity for users because it is still unknown for many people and it really does not exist but as a common currency. Moreover, that bitcoin cannot serve only for legal purposes. 

These opinions of the SEBI can affect dangerously the bitcoin exchange in India and harm the population progress towards the cryptocurrency and difficult to buy and sell bitcoins in India because it is easy to see that the institution has a prejudice towards bitcoin exchange and that their vision could lead it to disappear.  In addition, the managers and CEO from different companies with the best bitcoin exchange in the country have said repeatedly that the bitcoin industry prefers self-regulation and not a government control over the currency or at least that a new institution for self-regulation of bitcoin should be created.