With the introduction of 2018’s Budget, Finance Minister Arun Jaitley put a conclusion to the digital currency issue by discouraging its utilization. Notwithstanding, Jaitley favored Blockchain innovation and specified the government will adopt it. Reports have recommended that ROC has quit enlisting such companies and a few banks have frozen these accounts.
In a move to control the digital currency in India, Jaitley expressed that the administration will do everything to suspend the utilization of bitcoin among different digital currencies in India.
He rehashed his past words that India does not perceive digital currencies as a legitimate tender and would discourage its utilization. In any case, he remarked that they would empower the utilization of blockchain innovation in payment systems.
Jaitley has been quoted as saying:
“The government does not recognise cryptocurrency as legal tender or coin and will take all measures to eliminate the use of these crypto assets in financing illegitimate activities or as part of the payment system.”
With the expanding wrath of Bitcoin over the globe, in the course of recent months, it has been expected that the government would give a better clarity on digital currencies with the budget presentation for 2018. With the budget declaration coming up, there have been discussions that the government may come up with a guide to regulate cryptocurrency market.
Following quite a while of hypothesis over the fate of digital currencies in India that has an immense base of bitcoin investors and merchants, the announcement came toward the beginning of day.
Throughout the previous couple of months, both Reserve Bank of India (RBI) and the government have expressed inconvenience over the utilization of digital currencies. The Finance Minister even called them a Ponzi scheme a year ago.
The ministry has said:
“There is a real and heightened risk of investment bubble of the type seen in Ponzi schemes which can result in sudden and prolonged crash exposing investors, especially retail consumers losing their hard-earned money. Consumers need to be alert and extremely cautious to avoid getting trapped in such Ponzi schemes.”
The Modi government had likewise reported the setup of a board of trustees to the virtual currencies’ implications and look at the controls encompassing them around the globe.
In any case, Jaitley’s position on digital currencies today has put the rest over any inspirational desires and questions on government’s approach.
The government has just begun a crackdown on the unlawful utilization of digital currencies. Be that as it may, Jaitley has reported the adoption of blockchain by the administration.