The rise of cryptocurrency has become one of the most keenly watched economic trends in this pandemic hit the financial world. The crypto transaction had the most excellent momentum in India after Supreme Court 2020, in 2020; the reserve bank of India has overturned its order (2018) that banned the financial in this situation, the cryptocurrency expert, Sunil Raveendran, who works in a MNC that is Technopark in Thiruvanathapuram, clarified the quick and dirty of computerized cash.l institutions from crypto transactions.
But the crypto trading gained momentum after the rumors of governmental control. The union government announcement was that to ban private cryptocurrencies.
In this situation, the cryptographic money master, Sunil Raveendran, who works in a MNC that is Technopark in Thiruvanathapuram, clarified the bare essential of computerized cash.
Here Mr. Raveendran told about crypto, as it arose as a resource class, the justification for its ascent, counteraction of extortion, and the fate of the advanced cash in India.
How did Cryptocurrencies arise as a resource class?
Like oil, gold, and stock are the significant resource classes. After the 2008 recession, the investors faced less trust and lost too. But crypto capitalized on it that time among the investors, and within the month, it has increased its value toll by $3 trillion. It has risen as the solid and robust asset class.
The Reasons – Behind the rise and demand for crypto at a worldwide level:
Understanding the socio-economic is the most important and exciting factor that intensifies the global adoption of crypto In this situation, Sunil Raveendran clarified the bare essential of computerized cash and other currencies. The main aim behind the cryptocurrency is to nurture an alternative payments system that reveals greater privacy, autonomy, and anonymity. After some time, people realize it as financial strength as an asset class speculative trading system.
The Novelty of bitcoin as a payment system is the cause of its minimum charges on international transactions, and it is free from government officials or any third party foreign exchange.
What is the cryptocurrency exchange?
The cryptocurrency trading in exchange gets facilitated at online platforms for the fiat of digital currencies, and it works as an intermediary between the burs and sellers. In that case, they charge fees of commission. Some exchanges are in India, like CoinDCX, WazirX, and CoinSwitch Kuber.
The future of cryptocurrency in India with new bills of Government:
In winter, the bill introduced in the Indian parliament is about to ban all private cryptocurrencies with certain exceptions. The intention behind the anomaly is to promote blockchain and its uses that are underlying technology.
- The 2019 bill was named ‘Banning of Crypto-currency & Regulations of officials digital currency bill 2019’, announced a blanket ban.
- As well in 2021 was also as ‘Banning of Crypto-currency & Regulations of officials digital currency bill 2021’, But 2021 has no reference to make it ban.
- It shows the participation and substantial growth in the crypto-currency market in Indian Market.
- The government values cryptocurrency as an asset class, not as a currency. With this government have a chance to gain the tax returns on crypto assets.
- Behalf on all above things, one thing comes out as a result in a positive way that regulations are will be helping in making the more transparency and accountability in crypto trading platforms and the chance to keep eyes on cross-border transactions.
- With this bill, we will reduce the fraud, and another possibility is that safeguard investors will be interested.
So, now the Indian government has not banned Crypto-currency.
It only wants to regulate it as the ‘Asset, and the Securities and Exchange Board of India (SEBI) is the countries watchdog and will be working as the helm, according to the cabinet note. Finance Minister Nirmala Sitaraman has announced that bitcoin is not a payment currency. India is also working on its own Central Bank Digital Currency (CBDC), and it gets governed and controlled by the Reserve Bank of India (RBI).