It is no secret that the path to regulating cryptocurrency in India has been a long process, even including a major ban across the country while the regulations are evaluated. However, there are plenty of residents that seem to be deeply angered by the ban, taking their frustration out on the crypto community. In the most recent news, two men were arrested for their role in scamming approximately 1800 investors.
These men were pursued after 50 different investors filed a complaint against Ripple Futures, which is the guise that these criminals lured consumers in with. The lies that they told consumers included that they were based in the United States, and even that investors would need less than a year to triple down on their investment. The daily and weekly payments alone completely violated the local laws. The two men arrests were Gaurav Aneja and Nelson Lobo, from Ghaziabad and Mumbai, respectively.
Their arrests were based on Section 420 of the Indian Penal Code, which discusses cheating, and Section 406, which discusses the Criminal Breach of Trust. Additionally, the entire exchange has been shut down, and there does not seem like there is any intent to relaunch them, considering the original intention.
This has not changed any of the strictness than India has imposed on crypto regulations since there is still a debate over the traceability of the assets. According to the law commission of India, they “recognized that the use of Cryptocurrencies in online gambling is a headache for law enforcement agencies. Probably, for this reason, Commission did not mention VCs alongside other e-modes while making standard regulatory measures.”
Other experts in the crypto industry are not stopping their progression though. Representatives for Tron have expressed their desire to establish an office in India, while the co-founder of Ethereum has a positive outlook on how this will play out. Joseph Lubin, the co-founder, told Economic Times,
“Once people explain things to you and you see the power of technology, you also understand that it can protect systems better. I am fully confident that this country will embrace profound technology.”