The Indian government cleared the air regarding crypto-currency such as Bitcoin being an unlawful tender in India. No lawful protection for investors!
Crypto-currency Likely To Be Illegal In India: No lawful protection for users
Talk about Bitcoin today, almost all media platforms and financial gurus wear it on their selves. Even the popular threads in Google will include phrases directly related to buying, investing or finding more about Bitcoin. Although it is not the only virtual world moolah circulating among closed user-groups, Bitcoin has definitely garnered the hype of being the next big thing. With the outrageous growth it had in the past, it ticks all the boxes of being a bubble. Many financial experts claim that Bitcoin bubble will burst soon as the prices sore every passing moment. Keeping the predictions aside, Governments will soon act on regularizing crypto-currency sensing it as a threat to the internal economy.
The government of India deemed crypto-currencies such as Bitcoin as illegal. The statement came yesterday from finance minister Arun Jaitley. He made a clear indication that both the Reserve Bank of India (RBI) and the government of India had consistently maintained about the facts. The executive organizations already made it public that crypto-currencies were not “legal, lawful tender” in India. The declaration further strengthens as there is no protection available to those using them or dealing with them.
There were many questions about these virtual currencies involvement in illegal activities that include trafficking and terrorism. But lack of dependence on the state had made the crypto-currency function with a certain amount of anonymity. The community enjoys the trust within its boundaries as the format only validates and functions within that range.
There are as many as 785 identified crypto-currencies operating globally. Out of which only 11 were prevalent in India. For now, this action by the Government is just a precaution for the users. The transactions aren’t sanctioned by the laws of the state, so there is no lawful protection for the individuals or groups engaged in these exchanges. Furthermore, this declaration seems like the stepping stone in regularizing exchanges that don’t come under the jurisdiction of the government.