{"id":274313,"date":"2023-12-18T20:09:30","date_gmt":"2023-12-18T14:39:30","guid":{"rendered":"https:\/\/forumias.com\/blog\/?p=274313"},"modified":"2023-12-18T20:09:30","modified_gmt":"2023-12-18T14:39:30","slug":"on-benefits-of-cryptocurrency-for-india-bitcoin-gains-acceptance-india-needs-clear-rules-on-cryptos","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/on-benefits-of-cryptocurrency-for-india-bitcoin-gains-acceptance-india-needs-clear-rules-on-cryptos\/","title":{"rendered":"On Benefits of Cryptocurrency for India: Bitcoin gains acceptance India needs clear rules on cryptos"},"content":{"rendered":"

Source: <\/strong>The post On Benefits of Cryptocurrency for India<\/strong> has been created based on the article\u00a0\u201cBitcoin gains acceptance India needs clear rules on cryptos<\/strong>\u201d<\/strong>\u00a0published in\u00a0\u201cLive Mint<\/strong>\u201d\u00a0on 18th<\/sup> December 2023.<\/p>\n

Syllabus Topic: <\/strong>GS Paper 3, Indian Economy, Money and banking<\/p>\n

News: <\/strong>The status of Bitcoin and other cryptocurrencies is evolving, as they edge closer to mainstream acceptance in the global financial system. Therefore, there is a need for regulatory clarity in India regarding cryptocurrencies.<\/p>\n

Cryptocurrencies are gradually becoming a \u201cmainstream alternative financial asset\u201d.<\/p>\n

What is Crypto-Asset Reporting Framework?<\/strong><\/h2>\n

Released by: <\/strong>Organization for Economic Co-operation and Development (OECD)<\/p>\n

Objectives:<\/strong> To enhance transparency in the global financial system, combat tax evasion, and ensure tax compliance related to crypto assets.<\/p>\n

It was designed to establish a standardized framework for the reporting and exchange of information related to financial transactions involving cryptocurrencies and other digital assets.<\/p>\n

What are the developments concerning cryptocurrencies?<\/strong><\/h2>\n

1) El Salvador launched a Bitcoin “volcano” bond.<\/p>\n

2) An approval of a Bitcoin ETF by BlackRock in the United States is pending.<\/p>\n

3) Nasdaq has listed several companies focused on crypto mining.<\/p>\n

What are the significances of cryptocurrencies?<\/strong><\/h2>\n

Digital gold: <\/strong>Due to their performance, Investors have stated seeing cryptos as \u201cdigital gold\u201d which provides a hedge against inflation.<\/p>\n

Remittances: <\/strong>Cross-currency remittances done via cryptos are substantially cheap compared to conventional bank transfers. Remittances to India are roughly $100 billion per annum.<\/p>\n

Loss for freelancers: <\/strong>Indian freelancers working in crypto and blockchain start-ups are often offered payments in cryptos.<\/p>\n

Loss of new business opportunities: <\/strong>The Indian citizens interested in Crypto mining, thriving gaming and non-fungible token (NFT) ecosystems, are discouraged due to uncertainty in the Crypto regulations space.<\/p>\n

What is its present status in India? <\/strong><\/h2>\n

First,<\/strong> under the Crypto-Asset Reporting Framework<\/strong>, Overseas transactions in cryptocurrencies by Indian citizens will be reported to Indian tax authorities. However, it is not clear, how Indian citizens can use cryptocurrencies.<\/p>\n

Second, <\/strong>Regulations have resulted in imposition of a very high tax on trading in these assets.<\/p>\n

Third, <\/strong>there is no clarity on whether cryptocurrencies can be used for cross-currency remittances, or as alternatives to the rupee in buying goods and services.<\/p>\n

Fourth,<\/strong> therefore, India to establish clear rules and guidelines on the use and taxation of cryptocurrencies to keep pace with global trends and safeguard interests of developers, entrepreneurs, and investors.<\/p>\n","protected":false},"excerpt":{"rendered":"

Source: The post On Benefits of Cryptocurrency for India has been created based on the article\u00a0\u201cBitcoin gains acceptance India needs clear rules on cryptos\u201d\u00a0published in\u00a0\u201cLive Mint\u201d\u00a0on 18th December 2023. Syllabus Topic: GS Paper 3, Indian Economy, Money and banking News: The status of Bitcoin and other cryptocurrencies is evolving, as they edge closer to mainstream… Continue reading On Benefits of Cryptocurrency for India: Bitcoin gains acceptance India needs clear rules on cryptos<\/span><\/a><\/p>\n","protected":false},"author":10320,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[1230,167,9],"tags":[216,8184,10506],"class_list":["post-274313","post","type-post","status-publish","format-standard","hentry","category-9-pm-daily-articles","category-economy-subject","category-public","tag-gs-paper-3","tag-indian-economy","tag-livemint","entry"],"jetpack_featured_media_url":"","views":{"total":2,"cached_at":"","cached_date":1702916337},"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/274313","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/10320"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=274313"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/274313\/revisions"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=274313"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=274313"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=274313"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}