Several cryptocurrency startups and blockchain-related startups may look to move out of India amid the possibility of a ban on virtual coins.

Founders of such businesses are planning to move to either the UAE or Singapore in view of the recent cryptocurrency bill that aims to ban all private cryptocurrencies, reported Business Standard.

While it is still not certain whether the government’s bill is aimed at enforcing a ban on cryptocurrencies, it has caused panic among Indian investors and businesses involving blockchain technology and virtual coins.

Quoting data from Venture Intelligence, the newspaper reported that funding for crypto and blockchain firms in India rose 20-fold this year. Five such startups have received $8 million in calendar year 2020 and 24 companies have attracted $502 million this year so far.

Read | Will India really ban cryptocurrencies? Here’s what experts say

Speaking to the publication, Harsh Rajat, founder of Ethereum Push Notification Service (ENPS) said he would be forced to move his business out of India if the government decided to ban cryptocurrencies. Rajat, however, added that he is not keen on moving the business elsewhere.

“We would not like to go elsewhere as then we would have to work as employees or consultants with other venture capital firms first till we can get a company registered in our names outside,” he told Business Standard.

Many other crypto and blockchain-related firms said the current environment in India remains uncertain and they would be forced to move businesses to other regions if a ban is enforced.

Earlier this week, the government announced that it would table a cryptocurrency bill in Parliament during the upcoming Winter Session. The initial description of the bill suggests that it aims to prohibit all private cryptocurrencies in the country.

Following the development, a wave of panic selling was witnessed across Indian cryptocurrency exchanges as investors feared the possibility of a ban. However, experts tracking the virtual coin market and crypto exchange operators asked investors not to panic as there are hardly any details about the bill.

They also said that the government may not go for an outright ban on cryptocurrencies, given the massive number of investors in the country.