But expectations that the budget would ban cryptocurrencies did cause jitters in the market. “Last week the price of bitcoin had dropped by 8-9%,” said Shetty. “But following the budget, it has recovered on our exchange.” This is in contrast to the global scenario where the price of bitcoin surged on Jan. 29 after Tesla chief Elon Musk, one of the richest men in the world,  added #Bitcoin to his Twitter bio and said he was a supporter.

Indian investors’ reaction isn’t unfounded because the country has a history of cracking down on cryptocurrencies. In 2018, the RBI had asked all banks in the country to cut ties with entities dealing in cryptocurrency, which wreaked havoc for the ecosystem with many exchanges shutting shop. The matter took nearly two years and an intense court battle to get resolved.

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