The Indian Government has released a warning to their people as well as the Bitcoin exchanges about the insecurity of the Bitcoin and its alternative coins. The warnings has made the Indian Bitcoin exchanges close and the country is now regulating against the cryptocurrencies to ensure that the country will not be involved.
The first Bitcoin exchange to close in India was BuySellBitCo.In, which were a site to trade Indian Rupees to Bitcoins, which was shut down on Thursday. Not long after, many other Bitcoin exchanges also decided to close after the warnings from the government.
BuySellBitCo.IN made the following statement on their site when they closed: “We are suspending buy and sell operations until we can outline a clearer framework with which to work,” and “This is being done to protect the interest of our customer.”
After the closure, the owner of BuySellBitCo.In was raided by the Enforcement Directorate, as he had violated banking regulations of money transferring across borders.