It will be highly interesting to see what happens here, and what the results are. Let's suppose, hypothetically, for the sake of reasoning about the future, th

It will be highly interesting to see what happens here, and what the results are. Let's suppose, hypothetically, for the sake of reasoning about the future, that India passes this law. OK, so now India has an official, single, state-sponsored cryptocurrency, er, "digital currency". Well, India still needs the Internet to function to do that. If the Internet is still functioning, and we presume that it will be, then how are they going to block other cryptocurrencies, er, "digital currencies" from being transacted? Well, it could be China to the rescue! China's firewall "block out all other countries' Internet" technology that is! But if they use something like that, if they create a "walled Internet garden" in India, then what happens to Indian Citizens who travel abroad, and want to transact in India's digital currency? In fact, what happens if two people, who are not Indian, who are not located in India, want to create a transaction in the new Indian digital currency with one another? In other words, what are the rules of that game? What happens if you have two or more Indian Citizens, who have accounts with the new digital currency, who act as minature "bankers", (that is, to produce surety/insurance/act as a source of trust) who then underwrite contracts which can be paper or digital, where these contracts are detached from the system, and can be traded by any number of other people in any number of other countries? Make that practice illegal? You could -- but this is sort of how paper currency first became valuable -- because it could be used as a proxy for gold (the goldsmith being the party that brokers the trust). Also, it's sort of what commercial paper and stock markets and derivatives do... there's an underlying object of value, and then there's a piece of paper which grants some form of control to the underlying value, and a "trust broker" that guarantees that that relationship holds... Make that practice illegal and you've basically banned stock markets and commercial paper of all sorts. The banks and major financial players (who are well connected politically in whatever country we want to talk about) -- won't have that. So it'll be interesting to see how this plays out, if India can control it, or if, more than likely, "creative" people in the finance markets will find ways to game the system... Of course, the only other option is to let all of those uncontrollable digital currencies proliferate. I'd say that India, with respect to creating this digital currency, is "damned if they do, and damned if they don't"... In other words, there's no simple solution... But, on a positive note, 10+ years or so into the future, future historians and policy makers should be able to get a whole lot of information as to how this played out, what was negative, and what was possitive, the effects and ramifications...