Oct 25, 2018 at 07:36
Oct 25, 2018 at 09:29 UTC
Was UnoCoin ATM Arrest A Justified Action Of Cyber Cell Authorities?
Everyone is aware that UnoCoin’s ATM was seized by the Cyber Cell Authorities, Bengaluru. The co-founder of UnoCoin Harish BV has been taken into custody for seven days after getting produced to the court. He was nabbed for operating the device illegally without any approvals from central authorities, according to the media reports.
As indicated by the Times of India, in addition to the kiosk, the police also seized Rs 1.8 lakh, a cryptocurrency device, five seals of UnoCoin company, a passport, five debit cards, three credit cards, one mobile and two laptops.
Now, the question arises “Was that a justified action by Cyber Crime Branch?”
The Truth About UnoCoin’s ATM
The headlines floating around the mass media are related to buying Bitcoin in India’s first ever Bitcoin ATM in Bengaluru. However, There Is No Truth To It!
If you dig into the reality about the machine, you will find that the machine was disbursing and accepting cash just for UnoCoin Customers.
Furthermore, it’s not a cryptocurrency ATM, since you cannot buy Bitcoin with it, you cannot even buy any Altcoins with it. You can simply deposit and withdraw INR in cash with it. So, How does it make a cryptocurrency ATM or vending machine?
How Can UnoCoin’s ATM Be Illegal?
Indeed, cryptocurrency is an unregulated term. A lot of people believe that crypto is banned in India because it is illegal, while it’s NOT. Cryptocurrency is not a legal tender within the country, but media is spreading this message making it illegal.
UnoCoin’s ATM was merely a desk accepting or giving cash to their users. Opinion on UnoCoin ATM’s legality stands apart. Unocoin has claimed that they are neither breaking the laws nor in the violation of RBI guidelines on prohibition in dealing with digital currencies.
Sathvik Vishwanath, the Unocoin CEO, stated –
“Our ATMs don’t need banking network or relationship to work. They just work as the cash deposit and dispensing alternative for the Unocoin customers.”
What was the point of starting the investigation against UnoCoin’s ATM?
Before the reports were evident, some media channels spread the news of Harish BV’s arrest for money laundering. For what charges the investigation was carried by Cyber Crime Branch, Bangaluru is still unclear.