A number of banks in India are reportedly closing accounts of customers who have purchased or dealt in cryptocurrencies. It is thought that India’s Central Bank and the Reserve Bank of India (RBI) are driving the initiative.
“We noticed you did a transaction involving crypto, hence, we will close your account within 30 days”
– Kotak Mahindra Bank
P.S: Glad they’re doing it for me pic.twitter.com/JIWzeU54i5
— Indian CryptoGirl (@DesiCryptoHodlr) January 12, 2019
With no official statement yet issued by the RBI, who report to the Bank of International Settlements (BIS) in Switzerland, it remains unclear if the latest clampdown is as a result of independent action or has been initiated by actors within Prime Minister Modi’s Government.
The RBI has previously been accused of violating the country’s constitution for its stance on cryptocurrencies.
Little Media Attention
The news of the account closures has received little attention within Indian media, however, given the country’s current political context. India has just witnessed one of the largest employment disputes in history with an estimated 200 million employees within the public services, communications and agriculture sectors going on a 48 hour strike in an attempt to improve general working conditions.
According to the Washington Post, the number of people in India aged between the age of 15 and 34 is expected to hit 480 million by the year 2021 yet general economic prospects appear poor despite the country being ranked as one of the world’s fastest growing economies.