The digital currencies like Bitcoin and other similar cryptocurrencies, which are in a crazy rage across the world, have been declared illegal in India. During the 2018 Budget speech, in a move to regulate cryptocurrency, Finance Minister, Arun Jaitley has clarified that cryptocurrency is not a legal tender in India and thus, cannot be encouraged.
“The government does not recognise cryptocurrency as legal tender or coin and will take all measures to eliminate the use of these cryptoassets in financing illegitimate activities or as part of the payments system,” Jaitley said. Even before the budget, Jaitley had already said that the cryptocurrency is not legal tender in India.
There have been reports that several banks have frozen account cryptocurrency exchanges in India, while the registrar of companies (ROC) has stopped registering companies intending to act as such exchanges.
As a lot of fake apps and websites are misleading and taking advantage of these cryptocurrencies to loot the investors, the government has taken this serious step. This move might affect the investors who are craving to invest in these digital assets for some quick money and profits.
However, the government has acknowledged the technology behind the successful Bitcoin cryptocurrency and is planning to implement the same for its own (and legal) form of cryptocurrency in the future.
