[HN Gopher] India proposes law to ban cryptocurrencies, create o...
       ___________________________________________________________________
        
       India proposes law to ban cryptocurrencies, create official digital
       currency
        
       Author : m33k44
       Score  : 123 points
       Date   : 2021-01-30 16:03 UTC (6 hours ago)
        
 (HTM) web link (www.thehindu.com)
 (TXT) w3m dump (www.thehindu.com)
        
       | ve55 wrote:
       | More regulation is coming for the US as well, so it's something
       | to be prepared for. There's going to be some interesting times
       | ahead.
        
       | thweor23439879 wrote:
       | Hardly surprising - India has been at the forefront of this
       | insane "digital cash" only agenda that is being pushed worldwide.
       | Their policies are almost always set by flown-in experts from the
       | US and by random NGOs and compromised bureaucrats, who almost
       | always give the same advice.
       | 
       | Little wonder that even with the pompous BJP at the helm, all
       | they can manage to do is implement policies that they themselves
       | had blocked the previous set of kleptocrats from implementing
       | earlier.
        
         | reactspa wrote:
         | Your comment is going to be an underrated comment.
         | 
         | However, there's also the notion of "tracking corruption".
         | 
         | China apparently is a cashless society (according to a Chinese
         | person I interacted with recently). I'd imagine that if it's
         | good for China, it's good for India.
         | 
         | (Indian here.)
        
           | manquer wrote:
           | Lot of countries are effectively going cashless by design or
           | by market forces.
           | 
           | It is convenient and cheaper for everyone.
           | 
           | It is not necessarily better for privacy or human rights, it
           | _can be_ better for taxation and other government functions.
           | 
           | Whether anyone likes it or not, the world is moving towards
           | this model. It is better to have controls and regulations on
           | how the data will be used rather fighting about keeping cash.
        
       | christiansakai wrote:
       | Just wondering, I don't care much about cryptocurrency, but I do
       | realize that we need cryptocurrency (as a side effect of
       | blockchain) to make the blockchain secure (making it an incentive
       | to run blockchain nodes).
       | 
       | Assuming that indeed we as humanity need blockchain (and
       | decentralization technology) in the future, can a blockchain or
       | any other decentralization technology work without cryptocurrency
       | (or any other incentive for that matter)?
       | 
       | Any thoughts?
        
       | me551ah wrote:
       | I think this is only the beginning, as bitcoin becomes more and
       | more popular, countries are going to start becoming scared of it.
       | Bitcoin cannot be controlled by the government and it is almost
       | impossible to trace. There are bitcoin mixers available which can
       | obfuscate transactions too. Black Money is a huge problem in
       | India, and bitcoin transactions pose a major challenge to law and
       | tax enforcement. As it starts to become a problem in other
       | countries, I'm sure they will follow suit.
        
         | _muff1nman_ wrote:
         | Bitcoin is not only possible to trace, it is arguably becoming
         | easier to trace than things like cash. In addition it has
         | started to degrade in some of its decrentalizing aspects which
         | opens up lots of vulnerabilities to being subverted by the
         | government. One example is the supply chain of mining.
        
         | PointyFluff wrote:
         | Illegal transactions are a much greater problem in fiat
         | currencies.
        
         | randomopining wrote:
         | What if the government shut down all exchanges? So then you
         | have people transacting OTC?
         | 
         | I don't get it. Then there's no price discovery and nobody
         | wants to take a risk.
        
         | Entwickler wrote:
         | "it is almost impossible to trace." I always struggle with this
         | argument. Literally every tx is on the chain. Sure, they can
         | obfuscate and make tracing more difficult, but the data is
         | still there to be analyzed. At some point the user will likely
         | try to receive the crptyo and cash out at an exchange, or
         | purchase goods and services through a regulated entity like
         | paypal. That's where the gov can scrutinize and take action,
         | which is why KYC is in place at Coinbase and other US
         | exchanges.
         | 
         | To curb nefarious use across borders, seems like the problem
         | may be that more exchanges need KYC laws across the globe, not
         | just in USA, and there would need to be some interpol-like
         | oversight.
         | 
         | A globally public ledger seems like a tool, not a hindrance,
         | against "Black Money". We just need more global cooperation and
         | oversight between governments tracking the exchanges.
        
           | me551ah wrote:
           | If you use a bitcoin mixer then it cannot be traced. That's
           | the whole point of mixers.
        
       | bobbydreamer wrote:
       | Nope. Not in anytime soon. India will wait and see what other
       | countries do. Probably there will be a terrorist attack somewhere
       | and they will find out he used crypto for everything and banning
       | of crypto will stop. RBI said they are banning crypto few years
       | back and people are still doing it, then found RBI didn't ban,
       | they just requested people not to use it.
        
       | naruvimama wrote:
       | To all Indian and non-Indians alike, a simple exercise will tell
       | you a lot about the challenges the country faces from a security
       | stand point.
       | 
       | Enumerate all the countries around india,look at the political
       | systems, demography, civil wars and genocide. India is a oasis in
       | the region, to keep ot safe is a herculean task.
       | 
       | And believe me you, until very recently the US and co often
       | backed unsavoury elements animical to Indian interests due to
       | political and strategic compulsions.
        
       | akhilkg wrote:
       | I assume the thought process was something like this: Indian
       | government looks at cryptocurrency and think "Ok so this is like
       | UPI (digital money) - but I can't trace it and that's bad" - so
       | boom - make an official cryptocurrency which they can trace back
       | to and restrict all others. I don't know how good of a solution
       | this is, but, defeats the point of crypto nonetheless.
        
         | [deleted]
        
       | jackfoxy wrote:
       | Consider this:
       | 
       | Every Satoshi can be traced back to when it was mined. The IRS
       | now requires Americans and resident aliens filing income tax
       | returns to report on their crypto holdings. Lots (maybe most?)
       | people use exchanges like CoinBase. (Remember, not your keys, not
       | your coins.)
       | 
       | If the government believes (they do not even have to prove) your
       | Satoshis were ever used for illicit transactions, they can
       | legally seize those assets. (Sorry, we don't think you were
       | involved, but these coins are criminals.) To simplify things they
       | just need to show a judge reasonable cause of _structuring_
       | sometime in the coin 's history. That has to be super easy to do.
       | https://www.goldinglawyers.com/structuring-cash-transactions
        
         | paxys wrote:
         | Saying "the government can technically do XYZ" is pointless
         | when there is no precedent and it has never been challenged in
         | court. What would the reaction be if the government bust into
         | your home and took your wallet because one of the dollar notes
         | in it was used for a robbery 10 years and hundreds of owners
         | ago?
        
         | me551ah wrote:
         | Bitcoin mixers do a pretty good job of obsfucating transaction
         | history and maintaining anonymity.
        
           | jackfoxy wrote:
           | Smells like money laundering.
        
         | mrtksn wrote:
         | Most non-techies I know simply buy and sell from an exchange,
         | never touching the real chain. For them, bitcoin is the number
         | on the screen they see when they log in.
         | 
         | Unless the USA imposes the strict FATCA and AML to all global
         | exchanges , forcing countries to act as if exchanges are banks
         | and comply,It would be easy to just use non-American exchanges
         | stay out of trouble.
        
           | jackfoxy wrote:
           | Sure, your coins are where the government can's touch them.
           | But if you do not comply with the IRS reporting rules and
           | your body is where the government can touch you, watch out.
           | 
           | But you're right. If USG does go down this path of crypto
           | suppression (and this is pure speculation at this point) US
           | based exchanges are vulnerable first.
           | 
           | I imagine nothing like this would unfold without coordination
           | with the EU and five eyes.
        
             | andrewjl wrote:
             | Tax enforcement prioritization roughly follows the shape of
             | wealth/income distribution. Focusing on the long-tail isn't
             | impactful, as far as fiscal concerns go.
             | 
             | You'd achieve about the same result tax wise w/ muscular
             | KYC/AML requirements for crypto exchanges/custodians in the
             | US as you would w/ a ban.
        
         | vmception wrote:
         | Structuring doesn't apply to cryptocurrencies and there is no
         | reporting threshold to be avoided yet. There are some proposals
         | to make thresholds. Structuring currently only applies to
         | physical cash passing a boarder or physical cash entering or
         | exiting a financial institution. It does not apply to
         | institution to institution transfers of any type and it doesn't
         | apply to cryptocurrencies at the moment. I've had this
         | discussion before, FinCEN is trying to change that.
         | 
         | Because structuring is a criminal law, they would need to show
         | a court a bit more to convict. But before a conviction they
         | could make your life complicated with dumb rationale to a judge
         | for a warrant or seizure notice, and that has nothing to do
         | with cryptocurrency, everyone relies on the government and
         | private persons not making their life complicated.
        
           | jackfoxy wrote:
           | Yes. This would be new legal territory, but not radically new
           | (IANAL). USG would certainly pick the case and the court to
           | try it in carefully in order to establish the precedent.
        
             | vmception wrote:
             | Structuring regulations are very clear about physical cash
             | in and out of a licensed financial institution (or avoiding
             | declarations to customs). Most agencies and representatives
             | have made it clear they aren't trying to debilitate bitcoin
             | or bitcoin use. This fanfiction of the government not
             | letting bitcoin be useful as a competitor is a weak
             | argument mostly because the ship has sailed, about a decade
             | ago.
        
         | SerLava wrote:
         | Damn, you're probably right, even though it would never work
         | that way for a greenback.
        
         | y04nn wrote:
         | This this a known issue, not all coins are the same, but I read
         | recently that there is work in progress to use Schnorr
         | signatures that would fix this problem by mixing multiple
         | signatures into a single one.
        
         | rrll22 wrote:
         | > Every Satoshi can be traced back to when it was mined
         | 
         | This is blatantly wrong, do you have a source for that?
         | Transactions can have multiple inputs and multiple outputs;
         | "which satoshi comes from which input" is not a valid question;
         | transactions are about value sums of inputs and outputs.
        
       | ripvanwinkle wrote:
       | I am trying to understand what new scenarios a digital currency
       | from India or any government unlock that are not possible today.
       | 
       | Is it that if i wanted to pay someone I could just skip the
       | intermediate credit card / google pay/ bank account and just send
       | money p2p.
       | 
       | love to learn more here.
        
         | dschnurr wrote:
         | Gov-supported digital currencies would mostly streamline things
         | and replace existing bloated and slow programs. Imagine the
         | current stimulus situation - instead of sending checks to
         | people they could just press a button and immediately send
         | credit to all citizens that have a certain account threshold or
         | income rate. Currency units could be earmarked for certain
         | retailers (i.e. food stamps, education, etc).
        
           | gus_massa wrote:
           | It's just a mandatory account in a National Bank[1] for
           | everyone. With a debit card or an app in the phone, it's
           | almost as good. The real question is why they need a new
           | currency instead of using the current one?
           | 
           | [1] I don't know the name. Here in Argentina we have a
           | "National Bank", and also the "Central Bank" that is somewhat
           | like the Federal Reserve, and a few other national banks that
           | are privatized and nationalized back from time to time. Also
           | each Province has it's own bank. (And there are also private
           | banks.)
        
           | whiddershins wrote:
           | Press a button and instantly deduct a new tax from my bank
           | account as well.
        
           | wtmt wrote:
           | There is no need to send checks to people unless it's
           | required for keeping records or purposes beyond money
           | transfer. India has quite an advanced banking system where
           | quite a large sum of money can be transferred in mere seconds
           | or in several minutes round the clock anytime of the year
           | from any bank to any other bank.
        
       | sub7 wrote:
       | They've already built BHIM and UPI. People think the government
       | are a bunch of dumb babus but they're sharp as fuck and realized
       | bitcoin is a virus and total lockdown early is best.
       | 
       | If Indians want to go hold + transact cash in random BTC wallets
       | then by all means they are welcome to do so illegally and subject
       | themselves to scrutiny down the road.
        
       | wtmt wrote:
       | Firstly, consider that the Indian government believes every
       | citizen and resident to be a crook and a tax evader unless proven
       | otherwise. That's why it has been pushing for "cashless" (even
       | after the callous and disastrous demonetization exercise in 2016
       | that outlawed some currency bill denominations), linking
       | taxpayers with a poorly designed and implemented non-revocable
       | biometric based number (called Aadhaar), pushing for this flawed
       | system to be used everywhere, etc.
       | 
       | Next consider that the current regime has a charismatic leader
       | who gets a lot of vociferous support for anything that can be
       | spun into the "anti-terrorism" and "national security" angles.
       | 
       | Since cryptocurrencies are only used by terrorists and tax
       | evaders dealing in drugs and such (this is a sarcastic take here,
       | but is believed so completely by the supporters of the
       | government), they must be banned.
        
       | option_greek wrote:
       | Its quite clear why they want to do this at this point of time.
       | The problem is the floating rate of USD/INR as seen by BTC/INR or
       | any stable currency/INR is slipping like crazy since they started
       | providing stimulus to economy last year. Its so bad, that there
       | is a hair cut of around 8% regardless of the platform. This is
       | only going to become worse as more money is going to be printed
       | this year to get the economy back on track.
       | 
       | No one can call out that the emperor is losing his clothes if
       | they are terminated :)
        
       | billfruit wrote:
       | Possibly more urgent policy reforms/legislation required in India
       | than this:
       | 
       | 1. Codification of the law of Torts.
       | 
       | 2. No-fault divorce.
       | 
       | 3. More devolution of powers and policy making to states.
       | 
       | 4. Ending the practice of Unelected Governers.
       | 
       | 5. Remove power of the central government to dismiss elected
       | state governments.
       | 
       | 6. Dismantle the British Era civil service designed to preserve
       | undemocratic control over the population to a modern federal
       | system where all decision making authority lies with elected
       | representatives only.
       | 
       | 7. Repeal of colonial era police and criminal codes, and moving
       | to a more humane police and criminal justice system as in other
       | democratic countries, including the establishment of jury system.
       | 
       | 8. Give equal representation all states in the upper house as in
       | the US senate(2 senator s from each state).
        
         | op03 wrote:
         | 9. Free dosas
        
           | umeshunni wrote:
           | DosaCoin for everyone
        
         | danans wrote:
         | > 8. Give equal representation all states in the upper house as
         | in the US senate(2 senator s from each state).
         | 
         | This is a terribly unfair system in the US, resulting in a
         | voter from Texas (population 29 million) having 2% of the
         | representation in the Senate as a voter from Wyoming
         | (population 579000) or 5% of the representation in the Senate
         | as a voter from Hawaii (population 1.4 million)
         | 
         | The system has its origins at a time when only land owning
         | white men (by definition a minority at the time) had the right
         | to vote, and senators were chosen by state legislators, not
         | residents.
         | 
         | Only under that backward system could the _current_ Senate seat
         | allocation be seen as remotely rational, although it can in no
         | way be viewed as just.
        
           | paganel wrote:
           | > The system has its origins at a time when only land owning
           | white men (by definition a minority at the time)
           | 
           | And even then, it was highly debated against, if I remember
           | correctly even James Madison himself was against it, to say
           | nothing of the anti-federalists.
           | 
           | In the end Madison saw it as a compromise towards the States,
           | but after 200+ years I think the anti-federalists were right
           | on this, it ended up like an aristocracy-like thing with too
           | much power vested in its members.
        
           | lou1306 wrote:
           | The Senate is intentionally designed to give more power to
           | smaller states. Otherwise, the 10-15 biggest states could
           | routinely gang up and pass federal legislation. Not a really
           | nice outlook for a federal government.
        
             | katbyte wrote:
             | so instead the small states get to gang up and impose their
             | will on the rest with only a fraction of the population?
        
             | yumraj wrote:
             | But what are states, artificial boundaries within a country
             | for administration purposes.
             | 
             | Why should 5 million people in a particular boundary have
             | the same say as 50 million people living in another
             | boundary. It makes no logical sense..
             | 
             | In fact it is anti-democracy as all citizens' votes are not
             | equal. In fact this applies to the electoral vote system
             | also.
        
             | nitrogen wrote:
             | Indeed. This is a problem that happens anyway. Getting rid
             | of the Senate would make it worse. Just look what
             | percentage of the western states is federal land, and what
             | percentage of the Colorado river is claimed by California,
             | both at the expense of people who actually live in those
             | states.
        
             | danans wrote:
             | The Senate was designed that way when the distribution of
             | "Free white males 16 years and upward" - the only people
             | who could vote at that time - was far more uniform across
             | the states [1].
             | 
             | There was only 1 order of magnitude difference between the
             | voting eligible population of the smallest state (Delaware)
             | and the largest state (Virginia).
             | 
             | Today, that difference is 2 orders of magnitude, which is
             | massive in comparison to what it was when the Senate seat
             | allocation was designed.
             | 
             | Arguments for the preservation of that system are nothing
             | more than shallowly disguised arguments for the continued
             | selective erosion of voting power of individuals in high
             | population states.
             | 
             | 1. https://en.wikipedia.org/wiki/1790_United_States_census
        
               | ac29 wrote:
               | The US system isnt perfect, but arguments against the
               | current allocation of Senators is effectively arguing
               | that the Senate should be abolished (which would take a
               | constitutional amendment). I think small states suddenly
               | finding themselves largely powerless would consider
               | secession if that were the case.
        
               | danans wrote:
               | > I think small states suddenly finding themselves
               | largely powerless would consider secession if that were
               | the case.
               | 
               | I have little doubt they would, and in doing so start a
               | war. After all, it's happened before, and many people are
               | plainly agitating for it now.
               | 
               | It's the "my enhanced privilege or your destruction,
               | choose one" argument, which is a clear demonstration of
               | one way the system codifies structural inequality and is
               | transparently anti democratic. In a similar way,
               | corporate lobbying distorts democratic representation,
               | and by all appearances, they overlap quite a bit,
               | differentiated only by the industry sector and which
               | Senator they support.
        
               | [deleted]
        
               | fhrow4484 wrote:
               | > The Senate was designed that way when the distribution
               | [...] was far more uniform across the states
               | 
               | Doesn't this goes against your argument then?
               | 
               | At a time where most of the voting population was at its
               | peak uniformity, the 2-senator-per-state model was
               | invented to ensure that the bigger states could not bully
               | their way in federal legislation.
               | 
               | It was invented at the time where it was the least
               | needed, since as you said, voting population was very
               | uniform, so they mostly want the same things.
        
               | danans wrote:
               | > Doesn't this goes against your argument then?
               | 
               | No. It was also anti-democratic at that time, but because
               | the distribution of the vote was an order of magnitude
               | less divergent, and the only people who could vote were
               | landowning white men, it was able to succeed politically
               | as a compromise.
               | 
               | Since then, its anti-democratic effects have magnified as
               | the population divergence between states has magnified.
        
             | austhrow743 wrote:
             | There are a billion ways you can split a democratic body in
             | to a majority and minority. We don't give the left handed,
             | orphans, or people whose name starts with F extra voting
             | power because the righties, parent havers, and all the
             | other name start letters could gang up on them. So if being
             | a minority isn't an obvious reason on its own to be given
             | more voting power, then there needs to be more reason to do
             | so for the states, and every time I see this brought up the
             | only defence is that the small states would have a minority
             | of votes.
        
           | 1123581321 wrote:
           | The bicameral congress lets small states join and maintain
           | membership in a union safely. It is a net increase in the
           | people's representation and this has only become moreso in
           | the era of popularly elected senators. India, with its
           | historically fraught relations between ethnicities,
           | religions, languages and social ranks, would benefit greatly
           | from such representation.
        
             | danans wrote:
             | > It is a net increase in the people's representation and
             | this has only become moreso in the era of popularly elected
             | senators.
             | 
             | It's a net zero increase in the people's representation. It
             | is a redistribution of representation toward smaller
             | states, which has accelerated as state populations have
             | diverged.
        
               | 1123581321 wrote:
               | A multi-cameral legislature is a net increase in
               | representation because it forces national considerations
               | to be examined multiple ways. The increased attention and
               | varied perspective represents the beliefs and desires of
               | more people than just a majority as measured one way
               | (e.g., by political party.)
               | 
               | By contrast, a single-house legislature fulfills the
               | desires of a national majority population the most
               | quickly, which is what you are advocating for. This is at
               | the expense of more careful consideration.
               | 
               | In other words, we do not agree on the definition of
               | representation as you see it as maximizing activity and I
               | see it as maximizing consideration.
        
               | danans wrote:
               | > In other words, we do not agree on the definition of
               | representation as you see it as maximizing activity and I
               | see it as maximizing consideration
               | 
               | The only thing it maximizes today is the continuation of
               | hereditary and tribal concentrations of political power.
               | It's a hostage situation, as the secessionists honestly
               | will tell you.
        
               | 1123581321 wrote:
               | While I appreciate your zeal, I suspect we will not
               | proceed to real discussion. Setting aside that countries
               | with histories different than that of the United States
               | use bicameral legislature, consider how multi-cameral
               | legislature might benefit a country even when one,
               | relatively uniform, political party controls all houses.
        
           | brobdingnagians wrote:
           | Like the internet, government used to be more decentralized.
           | States were the dominant law givers, and it meant that power
           | centers were more decentralized and local to the people being
           | governed. Instead of most laws that directly impact your life
           | coming from far away in Washington DC from politicians you
           | will never meet and can't influence, you had laws from more
           | local government that you had more of a chance of
           | participating in and influencing (e.g. for the things that
           | mattered you had much more _meaningful_ representation). When
           | states could elect senators, it had more of a chance of
           | keeping that power decentralized. Now government power, like
           | the internet, is increasingly centralized which makes it a
           | battle of the federal government to make the entire country
           | do what "our side" wants. It would be better if most laws
           | were decided locally in your state or city-- and other states
           | or cities could do things differently. That would be good for
           | everybody.
        
           | dantheman wrote:
           | No it balances the power between the states. The federal
           | government should not be involved in day to day affairs of
           | the general populace. As it was originally conceived it was a
           | government of enumerated powers.
           | 
           | The house represents the people, the senate the states. In
           | fact, allowing the direct election of senators was one of the
           | worst decisions ever made.
        
             | enchiridion wrote:
             | That's an interesting view of electing senators. Is there
             | somewhere I can read more about it? Never thought of it as
             | a very important change.
        
               | dantheman wrote:
               | Here's a link: https://www.senate.gov/artandhistory/histo
               | ry/common/briefing...
        
               | asimpletune wrote:
               | Yeah, it's called "the great compromise". During the days
               | when the founders were debating majority rule vs minority
               | rights, they couldn't decide what to do. So they created
               | two houses that both have to coordinate to pass law, but
               | provided a few escape hatches.
               | 
               | Random, but this is also why adding Puerto Rico as a
               | state is extremely threatening to the political paradigm
               | today. It would add 2 extra senators, who would most
               | likely be democratic.
        
             | danans wrote:
             | > The federal government should not be involved in day to
             | day affairs of the general populace.
             | 
             | This is an argument that the Senate - a part of the federal
             | government - should have _less_ power than it does today,
             | much as the House of Lords ' power has diminished in the
             | UK.
        
               | ac29 wrote:
               | I'd argue the opposite - currently, the Senate is where
               | legislation goes to die after being passed in the house
               | (which arguably represents the will of the people, at
               | least in theory). The government would be more involved
               | in the day to day affairs of people if the Senate was
               | weakened or eliminated.
        
         | SmokyBourbon wrote:
         | 9. Give the people an alternative to defecating outdoors into
         | the water supply
        
         | princevegeta89 wrote:
         | How about even more serious problems like road traffic
         | discipline, dowry, child marriages and public toilets?
        
           | umeshunni wrote:
           | Those aren't problems that can be legislated away
        
         | manquer wrote:
         | 8. There is no reason to give equal votes to all states. Why
         | should citizes have unequal voting power ?. It is undemocratic
         | in the U.S, The amount of power conservatives is
         | disproportionate to the actual percentage of the population
         | that wants them.
         | 
         | 7. Jury system is not without its flaws. You talk about
         | colonial era policy reformation. Juries are a commonwealth
         | tradition! Mostly colonial countries have them. india had them
         | till the 50-60s, it was intentionally removed as part of
         | justice reformation.
         | 
         | 5. In a federal or union government the state should have this
         | power. The integrity of the state requires this power. This
         | excerise of this power needs strong checks and balances in
         | place , but lack of adequate controls is not a reason not to
         | remove it entirely.
         | 
         | 6. Elected officials always have final decision making power.
         | Civil servants are career professionals sure have the ability
         | to influence the decision making in what and how they present
         | information to elected officials, abolishing civil service is
         | basically like having a company with only senior management and
         | no middle management. Who will execute the policy decisions?
         | 
         | 4. Governor's power in states (not union territories or ncr) is
         | actually pretty limited and largely ceremonial. The president
         | and governors are artefacts of transforming from a colony. They
         | don't have much power constitutionally by design. Electing them
         | won't solve the problems of the office, they will just
         | influenced by corruption by needing votes as before .
        
           | nullc wrote:
           | > Why should citizes have unequal voting power ?
           | 
           | Unequal voting power doesn't just arise from unequal votes,
           | it also arises from correlated/block votes.
           | 
           | Making votes unequal can counteract unequal voting power.
           | 
           | Unequal voting is one of the reasons that e.g. people in
           | urban centres can't just capriciously turn the far away state
           | of Wyoming into a poorly managed nuclear waste dump.
        
         | 3np wrote:
         | As much as I think this proposal is unneeded, harmful,
         | draconian and problematic in other ways, I disagree with this
         | apple-to-oranges what-aboutisms in legislation.
         | 
         | You can absolutely attempt improvements in one dimension while
         | othe r more important ones are sorely neglected.
         | 
         | The article is unclear abot the panel, buit I guess they have
         | little impact on the issues you mentioned.
        
           | coldtea wrote:
           | > _You can absolutely attempt improvements in one dimension
           | while othe r more important ones are sorely neglected._
           | 
           | Yes. And you will be harming yourself and your country by
           | doing so, by prioritizing the wrong things.
           | 
           | Ending up "better than now" (by prioritizing the wrong
           | things, but still improving some dimension)
           | 
           | is worse than
           | 
           | Enging up "much better than now" (by prioritizing the most
           | important dimension to improve)
        
             | loceng wrote:
             | I think a global, decentralized pyramid scheme is fairly
             | harmful - at least to the later adopters left holding the
             | bag, and then the growing "army of HODLers" who are aligned
             | financially to further adoption to realize gains or try to
             | break even again; including the danger of regulatory
             | capture.
        
             | codegeek wrote:
             | Or you don't get anything done by trying to be "much better
             | than now" vs "better than now". It goes both ways.
        
               | coldtea wrote:
               | Perhaps you shouldn't random walk to being better?
               | 
               | "House is on fire? Let's throw out the trash first! That
               | would be a better than now house, a cleaner, better
               | smelling, burning house!"
        
               | mushbino wrote:
               | How is the state taking a monopoly on crypto "better than
               | now"?
        
               | JumpCrisscross wrote:
               | > _How is the state taking a monopoly on crypto "better
               | than now"?_
               | 
               | India has a functioning payments system. It has a
               | dysfunctional tax system and a massive black market.
               | Banning cryptocurrencies doesn't really do any practical
               | harm. It does take away, or at least make more difficult,
               | a major route for illicit payments.
        
         | redpillor wrote:
         | this reform is good. it should stop black money and make market
         | more lucrative
        
         | specialist wrote:
         | I'll support the Clean-up Technical (Legal) Debt political
         | coalition.
        
         | screye wrote:
         | > 4. Ending the practice of Unelected Governers.
         | 
         | > 8. Give equal representation all states in the upper house as
         | in the US senate(2 senator s from each state).
         | 
         | I am sorry, but we certainly do not need the worst parts of the
         | US system. It is not just bad. It is catastrophic.
         | 
         | Having 2 elected houses is monumentally stupid idea that allows
         | politicians to trap the system in blockages, while pointing
         | fingers at each other for no repercussions.
         | 
         | > Codification of the law of Torts.
         | 
         | I hope this never happens. The super litigious part of America
         | through civic laws leads to a lot of services getting
         | needlessly expensive.
         | 
         | ________
         | 
         | India has big problems, but almost none of them are the ones
         | you mention.
        
           | lou1306 wrote:
           | > Having 2 elected houses is monumentally stupid idea that
           | allows politicians to trap the system in blockages, while
           | pointing fingers at each other for no repercussions.
           | 
           | A democratic system's main concern is not efficiency, but
           | rather robustness of the democratic process. Authoritarian
           | states are _much_ more efficient in passing legislation, but
           | at what cost?
        
             | screye wrote:
             | Democracy is about allowing people's representatives to
             | effectively pass bills for which they put them in place.
             | 
             | Building structures at actively make that difficult are not
             | democratic. They are just bad.
        
               | candiodari wrote:
               | It is _also_ about protecting minorities from the
               | majority.
        
         | reactspa wrote:
         | Re: No fault divorce:
         | 
         | The concept of marriage in a tradition-based society like India
         | has a completely different meaning than "let's voluntarily have
         | a contract, and we can break it off any time we feel like it."
         | 
         | In order to protect the sanctity of marriage (straight or gay,
         | I support both), the government must resist calls to make it
         | easy to divorce. Divorce must be a painful, punishing process
         | if society is to continue to take marriage seriously. (It must
         | nevertheless be possible for either party in the marriage to
         | initiate a divorce to completion. That's non-negotiable.)
         | 
         | Just my view on this subject. And I accept that others with
         | different experiences than mine may have different views.
        
           | thih9 wrote:
           | > Divorce must be a painful, punishing process if society is
           | to continue to take marriage seriously.
           | 
           | This might increase unhappy people stuck in a marriage, which
           | likely won't make the society take marriage seriously; the
           | opposite seems true.
        
           | austhrow743 wrote:
           | Can't a tradition based society just use tradition to keep
           | divorce painful and punish those that do it? Like the core
           | aspect of a wedding is to bring everyone you know together so
           | you can tell them all at the same time "I promise to stick to
           | this person". If you want that to have weight then just treat
           | it like it has weight. Shame your friends in to staying
           | married if they talk about considering divorce, and shun
           | those that go through with it anyway.
           | 
           | I understand the concept of having different views of how
           | serious of a commitment marriage should be, but I don't
           | understand why "I want things to be this way" automatically
           | means "the government should make things this way". They're
           | the scariest institution that exists because of the
           | overwhelming power they wield. Hell, they're largely defined
           | by it. Bringing the government in to play for every little
           | thing seems to me like buttering your bread with a scimitar.
        
           | qart wrote:
           | There are so many horror stories of people committing suicide
           | because of the anguish caused by husband/wife. If you're
           | married, it's up to you to maintain its sanctity. Don't
           | expect anyone else to care about your marriage. Least of all,
           | our incredibly corrupt government machinery. "No fault
           | divorce" spares the suffering spouse from having to legally
           | prove a lot of things that happen in private.
        
           | danbolt wrote:
           | How about make marriage harder to get and divorce easy? That
           | way people don't get married without earnestly wanting it and
           | don't get trapped in agonizing mistakes.
        
             | ergocoder wrote:
             | At least, make them equally easy.
             | 
             | It's just so strange that marriage is super easy. Divorce
             | is like several months of processes (even both sides are
             | amicable).
        
           | Larrikin wrote:
           | This promotes a system where the only reason anyone would get
           | married is for a minor tax break or protection in a law suit
        
             | manquer wrote:
             | You have to remember the enormous social pressure to get
             | married in India.
             | 
             | I don't necessarily agree with OP on it should be
             | complicated , however there won't be any danger of
             | reduction in legal marriages
        
           | a1369209993 wrote:
           | > In order to protect the sanctity of marriage (straight or
           | gay, I support both), the government must resist calls to
           | make it easy to divorce. Divorce must be a painful, punishing
           | process if society is to continue to take marriage seriously.
           | 
           | Yes, that's why it needs to be easy to divorce.
        
           | azifali wrote:
           | Divorce should be easy. Marriage is not which needs
           | protection and government meddling. Two consenting adults
           | should choose to live together or apart as they feel fit. I
           | would resist any call to make the government a part of our
           | personal lives. Dangerous proposition to say the list with no
           | limit to when we can draw the line.
        
             | [deleted]
        
           | dvdkon wrote:
           | I don't see why marriage should be a legal process "provided"
           | by the state. People from different cultural and personal
           | backgrounds have differing views on marriage. You think
           | divorce should be difficult so that people take marriage
           | seriously, but there are likely many others in your country
           | that would vehemently disagree. Even the choice of words,
           | "sanctity", suggests to me that marriage would be better
           | served as a purely religious ceremony. The government can
           | then provide the legal aspects of today's marriage in some
           | kind of "registered partnership", which would have none of
           | the cultural baggage and be purely functional.
        
       | specialist wrote:
       | Has India banned other religions?
       | 
       | Cue pearl clutching about slippery slopes.
        
       | azifali wrote:
       | I think this is a needless and draconian proposal.
       | 
       | If the government stops meddling with the constitutional rights
       | of its citizen subjects, restore Right to Information (RTI),
       | remove election fraud and fundraising which is tremendously
       | boosting the currently elected government - they would have
       | bestowed a huge favor to its citizens and the future generations.
        
       | Abishek_Muthian wrote:
       | My views on the ban on cryptocurrencies are same as an average HN
       | user although I don't have any. But my views on official digital
       | currency in India could be different i.e. I would welcome it.
       | 
       | Just because if it enables in the distant future the ability to
       | monitor where _every paisa of my tax was spent on down to the
       | lowest level_ e.g. It was used to buy the tiles for the
       | construction of a public toilet in X village; it 's certainly
       | possible with blockchain.
        
         | PointyFluff wrote:
         | Bitcoin is more of a holding; last-mile transactions are better
         | made with different cryptocurrencies, such as Monero. With Doge
         | being great for tossing around on the internet for the more
         | trivial things.
        
       | jmsflknr wrote:
       | Dupe: https://news.ycombinator.com/item?id=25968328
        
       | divs1210 wrote:
       | Indian here.
       | 
       | THIS is why India has been enslaved by foreign powers again and
       | again. This is why Indians rarely innovate in India but
       | outperform others abroad.
       | 
       | Indian leadership SUCKS, and India will remain a third world
       | shithole for the foreseeable future.
       | 
       | I had some hopes from Modi, but now I don't.
       | 
       | Not sure what kind of bad karma makes you reincarnate as an
       | Indian, but my past lives must have been full of hedonism and
       | debauchery. I hope.
        
         | eschulz wrote:
         | I can't argue with you. However, I'm often unsettled when
         | people envision such a gulf between them and the political
         | leaders in their nation. I fear that this makes people say, "oh
         | well, the government are idiots, but there's nothing I can do".
         | I wish I knew the formula to improve state leadership, but I
         | hope you never quit applying pressure to those in high office
         | in India.
        
         | rakejake wrote:
         | The real reason India is behind is because people like you and
         | me are content dissing the country at every opportunity sitting
         | in America.
        
       | 02020202 wrote:
       | that is the beauty of cryptocurrency - you cannot steal it away
       | from people. haha.
        
       | motohagiography wrote:
       | By ban, do they mean "create a massive grey/black market full of
       | billionaire criminals," because that's literally what they're
       | doing.
        
         | coldtea wrote:
         | No, it just means of being one of the first goverments to take
         | control of the cryptocurrencies, which will end up making these
         | "billionaires" worth $0 (or "come clean" by paying big taxes
         | for their money to transfer them to the official currency), and
         | others who continue trading or offer support for it, go to
         | jail.
        
           | suyash wrote:
           | Yes, think this is very innovative approach the Indian Govt,
           | I support it.
        
           | TT3351 wrote:
           | Very optimistic outlook for you to take towards a government
           | which has taken even more drastic steps in the past aimed at
           | corruption to (from what I can tell) limited effect and great
           | disruption to non-corrupt citizens -- thinking specifically
           | of demonetization. This seems like "big stick" policy to me,
           | a hammer looking for a nail.
        
             | coldtea wrote:
             | Well, I never said this will make corruption more
             | difficult, or even that it's aimed towards reducing it.
             | 
             | Just that it will make cryptocurrency use/facilitation
             | illegal, and thus prone to fines/jail time.
        
       | teawrecks wrote:
       | So basically, "We think it's time to steal the tech, ban any
       | further innovation, and implement our own version that subverts
       | the entire point of it to begin with"?
        
       | bitxbitxbitcoin wrote:
       | I would actually like to see a nation state try to ban private
       | cryptocurrency use. How would they do it?
        
         | [deleted]
        
         | ripvanwinkle wrote:
         | They would essentially drive it underground so that if you
         | bought or sold or transacted in crypto you would have to do it
         | through the equivalent of dark alleys or obscure smoke filled
         | venues.
         | 
         | Something like the contrast between trying to procure cocaine
         | vs aspirin
        
           | PointyFluff wrote:
           | Woooo! spooky VPNs....
        
           | thysultan wrote:
           | It will be easier than you think: You could just send crypto
           | to a friend and they wire me the equivalent in $ with india
           | being non-the-wiser.
        
             | randomopining wrote:
             | But how do you know the price? Much less price discovery.
             | 
             | Would it be easy to transact OTC like that?
        
       | lazypenguin wrote:
       | I love when you get little glimpses like these into the mindset
       | of leadership and realize they are just ordinary people who don't
       | know what they're doing either. I'm not a crypto enthusiast but
       | even I have to chuckle and shake my head at situations like this.
       | An official cryptocurrency run by the Reserve Bank of India
       | defeats one of the main selling points of a decentralized
       | cryptocurrency...
        
         | m3kw9 wrote:
         | Digital currency can different than crypto currencies. The
         | point is they want centralization.
        
           | omk wrote:
           | Digital currency is no different that what already exists in
           | terms of digital representation of one's holding. Really
           | curious to see how the tax payer is going to pay for a
           | glorified database and what value is derived from it.
        
             | [deleted]
        
             | louloulou wrote:
             | It's just a round-a-bout way of getting rid of cash so they
             | can surveil all transactions
        
             | ampdepolymerase wrote:
             | How fast is clearing and settlement in traditional Indian
             | banking?
        
               | geektips wrote:
               | It depends on the system used for transaction[0]. For
               | transaction under $1300 settlements are instant, while
               | for amount more than that it ranges from 30 minutes to 24
               | hours.
               | 
               | [0] https://en.m.wikipedia.org/wiki/Payment_and_settlemen
               | t_syste...
        
               | manquer wrote:
               | During working hours on week days for largers amounts
               | RTGS is real time and minimum amount is $2500 and is few
               | seconds fast.
        
             | analog31 wrote:
             | If they are anything like the US, then they already have a
             | sophisticated database of financial transactions in support
             | of their tax system and national security apparatus.
        
         | dabbledash wrote:
         | I think it's likely that defeating those main selling points is
         | not accidental
        
           | analog31 wrote:
           | In my view, money is a technology, meaning that a money
           | system does not have an inherent purpose, but is designed to
           | serve specific purposes. For instance I think that the US
           | money system is "designed" to serve as a medium of exchange,
           | a temporary store of value, and a tool of government economic
           | policy.
           | 
           | Bitcoin might have been designed with some other purposes in
           | mind. It could also be co-opted by a government. For
           | instance, I suspect that subsidized energy for bitcoin mining
           | represents a government monetary policy, but I don't know the
           | extent of the influence or its real purpose.
           | 
           | Moreover, like a technology, people will use money if it's
           | useful to them. For instance people in countries with "bad"
           | money will often use it for daily expenses, but move the bulk
           | of their assets into instruments based on the currencies of
           | the US, Europe, etc.
        
             | dabbledash wrote:
             | I'm far from an expert in these things, but to me the
             | benefits of bitcoin are: 1) giving individuals a way to
             | exchange money digitally without it being tied to their
             | offline identity directly (cash) and 2) providing a
             | currency that can't be manipulated directly by government
             | monetary policy. I assume banning it and replacing it with
             | something from the government is intended to avoid those
             | things intentionally, and isn't some accident they stumbled
             | into.
        
               | analog31 wrote:
               | Indeed, I'd separate the two policies. On the one hand,
               | providing a digital currency that works like their
               | existing money system, is just an extension of their
               | existing policy, perhaps a minor technological upgrade.
               | 
               | Banning crypto is another policy altogether.
        
         | bilater wrote:
         | A centralized Digital currency has its place and is coming to
         | all countries eventually. There are benefits such as easy
         | disbursement of money to the masses (UBI) by depositing it
         | directly into their wallets, efficient taxation and more. Look
         | into CBDCs.
        
           | PoignardAzur wrote:
           | I don't think the primary objection to UBI is "But how can we
           | solve the logistic challenge transferring money to all these
           | people?"
        
         | meowkit wrote:
         | > An official cryptocurrency run by the Reserve Bank of India
         | defeats one of the main selling points of a decentralized
         | cryptocurrency...
         | 
         | You can still have a centralized token asset as your currency.
         | It defeats the purpose of open source and public blockchain
         | utility, but gives a government massive control over its
         | currency.
        
           | teawrecks wrote:
           | But then what's the point? You can already achieve the same
           | outcome way more efficiently using existing centralized
           | methods.
        
             | doovd wrote:
             | Ye idk what the guy above you was trying to say TBH
        
             | gogopuppygogo wrote:
             | Better tools to government surveillance of citizens is the
             | goal
        
       | mythrwy wrote:
       | If they pull both of these things off it may be bullish for
       | precious metals.
       | 
       | People will always want stores of value outside of monitored and
       | adulterable (is that a word? hope the meaning is clear)
       | centralized currencies. And the more trust is broken by the
       | powers controlling the centralized currencies the more people
       | will seek options to preserve and transfer wealth.
        
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       (page generated 2021-01-30 23:02 UTC)