The government is going to ban all cryptocurrencies like bitcoin in the country. A bill for this will be brought in the winter session of Parliament. As soon as this news came on Tuesday, there was panic among crypto investors. They quickly started selling cryptocurrencies, causing the country's largest crypto exchange WazirX to crash. The company's founder and CEO Nischal Shetty said that it has now been restored.
Users on social media platforms were complaining that they were unable to buy or sell bitcoin on WazirX and that their money was getting stuck in processing. At the same time, he said that when the price of Bitcoin and Ethereum was going up on global exchanges, their price on WazirX was going down.
Price of cryptocurrencies
At 11.30 am, Bitcoin was trading 12 percent down on WazirX at $ 56,562 i.e. Rs 3979813, Ethereum was down 10.48 percent at $ 4241 i.e. Rs 299000. Similarly, Mime Crypto Dogecoin was trading with a decline of 12 percent and Shiba INU by 19 percent.
Reason for WazirX Crash
WazirX said in a statement that WazirX is an open order book and the exchange does not determine the price of any crypto. There will always be a difference in prices on every exchange and in every country. It depends on the demand and supply. For example, if more people try to sell crypto in the Indian market than in the US, the Indian market will see a slight drop in prices. The exchange has asked crypto investors not to panic and sell in a hurry.
According to data from the Internet Mobile Association of India, it has doubled in various cryptocurrencies in 2021. This figure has now reached $2 billion. The government has proposed a ban on all private cryptocurrencies but the industry expects popular cryptocurrencies such as bitcoin and ethereum not to be banned. Shetty told Business Today that cryptocurrencies like Bitcoin, Ethereum, and Dogecoin work on public blockchain technology and it remains to be seen whether these are included in the bill.
On 23 November 2021, the news broke out that the Indian government will table the much-awaited crypto bill this winter session. Please read on to understand why this period is not the time to panic but to keep calm and hold on.#IndiaWantsCryptohttps://t.co/fMfVaM0crA
— WazirX: India Ka Bitcoin Exchange (@WazirXIndia) November 24, 2021