Lawyer Bivas Chatterjee, in an attempt to protect the public interest, on Friday filed a lawsuit in the court of Kolkata regarding the immediate market regulation of bitcoin in India and crypto streams going out of the country. This is reported by local media.
In their petition Chatterjee said that cryptocurrencies are primarily used to achieve dishonest purposes, and therefore should be regulated or banned in the country, as well as in China. And he said that this should be done as quickly as possible:
“The use of bitcoin increased after demonetization, when actively promoted the idea of a cashless economy. Law enforcement authorities in India don’t know what to do… the Government should either ban bitcoin, following China’s example and proclaiming it illegal, or to create a special regulatory body that will control the cryptocurrency market.”
Anonymity of cryptocurrencies is the problem
According to the lawyer, transactions with cryptocurrency difficult to track, making it a suitable tool for conducting illegal financial operations:
“Cryptocurrencies offer the promise of rapid and anonymous money transfers with low overhead. Such transactions are difficult to trace… law Enforcement agencies face challenges in investigating crimes involving cryptocurrencies, including bitcoin, because of their anonymity.”
Chatterjee’s statements reflect a growing confidence that bitcoin and other cryptocurrencies too volatile and anonymous for their adoption and regulation at the state level. However, the authorities of other countries, such as Japan, have recognized cryptocurrency payment device and found ways of their regulation.