The proposed ban on cryptos is likely to deal a blow to investors estimated to be 8 million who hold an estimated Rs.10000 crore in cryptos. Therefore, it is possible that government may provide an exit window of 3-6 months for investors before prohibiting the possession, mining and issuing of cryptos.

There are resident Indians who transmit money abroad legally for various reasons, including investments in overseas assets. Such investors are likely to trade cryptos through overseas brokerages. Restricting crypto trades would affect such transfers. The government is also conscious of the booming cryptocurrency market and would think deeply about this.