Although it has been seen that cryptocurrency has not been legally entertained by the government and the banks in India. Still, as per some reports, India is in 11th place to have cryptocurrency adoption across the world. The country that is the 2nd most populous country is a place where without the government’s support it is difficult to be. Despite these restrictions, the crypto boom in India is not hidden.
The topic here is going to talk about the overtime growth of cryptocurrency in India along with the non-welcoming nature of the government for the same.
IS CRYPTO LEGAL IN INDIA?
The answer to the question is if Bitcoin and cryptocurrency are illegal, then the answer would be that it is not illegal rather the government is putting some regulation on cryptocurrency usages in the country. While there had been news if cryptocurrency was being banned even then there had been an increased period that the government gave to investors to sell off their holdings in the same.
There have been some other news as well that India is going to make Bitcoin an asset. Also, there have been statements that the reason for such legislation is to protect the investors from the high fluctuations in the crypto market. You can enhance your bitcoin trading experience with the Yuan Pay Group .
Another thing that happened was that the government did not ban all cryptocurrency as it was being said that they will have some experiment with the backbone of any cryptocurrency that is ‘Blockchain’. As blockchain is one phenomenon that has been welcomed by people for the numerous benefits that it provides. This technology has just not limited itself to cryptocurrency but has stepped in many other fields and has given promising results.
Blockchain technology is the mechanism that runs any cryptocurrency in its true form. This is the main technology that facilitates investors with all the perks of a cryptocurrency. In a blockchain, information about the parties involved in a transaction, the hashes, and the old data concerning the transaction is situated. As a fresh transaction takes place, the blockchain technology keeps the new information in each block in the formation process as long as the new transactions are taking place. Hence the blocks that are formed with each new transaction give rise to a chain that ends up giving rise to a BLOCKCHAIN. This technology is becoming famous day by day and the Indian government is also looking forward to making some innovations in the different fields through the application of this technology.
WHAT CAN BE THE CONSEQUENCES OF THE BAN?
The ban might end up putting all the investors in trouble as the government is not at all welcoming the new currency. Some consequences might include penalties, or account freezing etc. Although no one knows the future, there might be some flexibility on the government’s part to legalize it. The reason why the government is opposing this is because of the no authority exercising control over it, or people escaping from paying taxes etc. might be some of the popular reasons that is hindering the government to try the same.
As written in the title, this article has given brief information concerning the cryptocurrency, its growth in India and the ban alongside by the government. I hope the information that I shared above would turn out to be a beneficial deal for you. As an Indian, the article will give you slight details as to what is the status of cryptocurrency there and to what extent the government is going to lay down the regulation in the country.