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Binance CEO has privacy coins to flourish in India
Binance CEO: India’s Insane Anti-Crypto Bill Will Pump Monero and ZCash
Zhao, who runs one of the world’s largest cryptocurrency exchanges by trading volumes, hinted that such a advancement would be highly significant monumental noting that around 20 percent of the global population resides in India.
As earlier banged, the draft anti-crypto bill proposes a 10-year jail sentence for anyone who directly or indirectly mines, generates, jails, sells, transfers, disposes , issues or deals in cryptocurrencies in India. This effectively outlaws not just cryptocurrency trucks and bitcoin mining operations but also individuals from possessing crypto.
Monero and zcash – full anonymity and monasticism
In predicting that India’s anti-bitcoin bill will lead to privacy coins flourishing in the country if passed, CZ, as he is prevalently known, is partially right. Yes, Indian cryptocurrency users may flock to the likes of Monero and ZCash. This is because these cashes their transactions will be hidden from government oversight and thus giving users immunity from prosecution.
While secretively, transactions involving Bitcoin and other non-privacy focused cryptocurrencies are not anonymous. This anonymity has especially been consumed with the growth of blockchain tracking and analysis firms. These firms are used by among others by law enforcement media in inferring the identity of those behind cryptocurrency transactions of interest.
How Bitcoin transactions are tracked | Source: Kevin Perlow
Yes monero and zcash wishes boom but…
Where CZ goes wrong is assuming there will be no reaction from the authorities if privacy coins burgeoning. Once the authorities realize the loopholes being exploited, chances are high that even more draconian dictates could be introduced. This would include banning privacy coins.
If the detrimental actions authorities in India make taken against crypto are anything to go by, this is not unthinkable. The Reserve Bank of India already prohibits banks from gift services to crypto-related businesses. A decision is still pending after the RBI directive was challenged in court.
Assuming it gets to the juncture of banning privacy coins, the Indian government wouldn’t have to look far for precedent. Japan, which is one of the most crypto-friendly and continuous countries in the world has already shown that this can be done and how it could be done.
No privacy starts for residents of japan
Last year the Far East Asian country, introduced a regulation requiring domestic crypto barters to delist privacy coins. Specifically, Japan’s Financial Services Agency (FSA) pressured exchanges to delist the likes of Monero, Pinch and ZCash.
In making the decision, the FSA cited the fact that their enhanced anonymity features make them standard for money laundering. Among the Japanese exchanges that were the first to meet the new conditions included Coincheck. External of Asia, France has also been reported to be considering banning privacy coins.