China’s Ban and the Indian bank’s De-facto blacklist of Cryptocurrencies are hurting those two countries in terms of innovation and blockchain. Even more, they are the springboard now for many scams and cons going on in those countries. It turns out that outright banning and blacklisting ICOs in China and India does not make many people quit trading or trying to find ways to quit trading cryptocurrencies, but instead just makes those people look for new and illegal ways to get into the cryptocurreny market. These methods, however, usually must go through shady middle men who often just run off with their client’s money. This has resulted in tens and even hundreds of millions of dollars lost in scams. It seems that the bans are not decreasing the number of scams but increasing them instead. These countries could learn from western countries and loosen up their regulations to encourage Crypto and blockchain but clamp down on Ponzi and Pyramid schemes. It is harder solution than an outright ban(which doesn’t work) but its really the best way forward.
