BOOM

Trending Searches

    Boom VIP
    BOOM

    Trending News

      • Fact Check 
        • Fast Check
      • Law
      • Explainers
      • News
      • Decode
      • BOOM Reports
      • Media Buddhi 
        • Digital Buddhi
        • Senior Citizens
        • Videos
      • Web Stories
      • Boom Money
      • Workshops
      • Videos
      • Home-icon
        Home
      • About Us-icon
        About Us
      • Authors-icon
        Authors
      • Team-icon
        Team
      • Careers-icon
        Careers
      • Internship-icon
        Internship
      • Contact Us-icon
        Contact Us
      • Methodology-icon
        Methodology
      • Correction Policy-icon
        Correction Policy
      • Non-Partnership Policy-icon
        Non-Partnership Policy
      • Cookie Policy-icon
        Cookie Policy
      • Grievance Redressal-icon
        Grievance Redressal
      • Republishing Guidelines-icon
        Republishing Guidelines
      • Fact Check-icon
        Fact Check
      • Law-icon
        Law
      • Explainers-icon
        Explainers
      • News-icon
        News
      • Decode-icon
        Decode
      • BOOM Reports-icon
        BOOM Reports
      • Media Buddhi-icon
        Media Buddhi
      • Web Stories-icon
        Web Stories
      • Boom Money-icon
        Boom Money
      • Workshops-icon
        Workshops
      • Videos-icon
        Videos
      • Home
      • News
      • No Plans To Boost Cryptocurrency...
      News

      No Plans To Boost Cryptocurrency Sector In India: Govt To Lok Sabha

      The government said that it has no plans to boost the crypto sector in India as it prepares to introduce a bill regulating it

      By - Mohammed Kudrati | 6 Dec 2021 1:33 PM GMT
      • Facebook
      • Twitter
      • Whatsapp
      • Telegram
      • Linkedin
      • Email
      • Print
      • link
      • Facebook
      • Twitter
      • Whatsapp
      • Telegram
      • Linkedin
      • Email
      • Print
      • link
      • Facebook
      • Twitter
      • Whatsapp
      • Telegram
      • Linkedin
      • Email
      • Print
      • link
    • No Plans To Boost Cryptocurrency Sector In India: Govt To Lok Sabha

      The government in a written reply to the Lok Sabha, said that it has no plans to boost the cryptocurrency sector in India. This statement also reiterates a previous government stance that it does not collect data on the cryptocurrency sector. It remains unclear as to what "boosting" the cryptocurrency sector means.

      The government has already made it clear that it plans to regulate the unregulated cryptocurrency and blockchain industry in India.

      While cryptocurrencies or trading in them are not illegal in India, the fast-growing and increasingly visible sector is currently operating in a regulatory grey area.

      The reply was given by the Minister of State for Finance, Pankaj Chaudhary to Jagdambika Pal, a Member of Parliament from Uttar Pradesh.

      Previously the government has said that it has no data on the number of cryptocurrency traders in India, or data on the number of coins - like bitcoin - traded. It also told Parliament last week that it had no plans to make cryptocurrencies like bitcoin a currency.

      Also Read: No Proposal To Recognise Bitcoin As A Currency: Govt To Lok Sabha

      The Cryptocurrency and Regulation of Official Digital Currency Bill, 2021 was mentioned as part the government's legislative agenda during the ongoing Winter Session of Parliament. Officially, the government wants to ban "private" cryptocurrencies, and regulate an official CBDC (central bank digital currency) of the Reserve Bank of India. The same agenda was introduced in the Budget Session this year too, but it was not introduced. However, a media outlet has stated that the government may choose to regulate cryptocurrencies in India rather than imposing a strict ban on them, citing a Cabinet note.

      Except the official statement of bill on the legislative agenda, it remains unclear what the modalities of the impending cryptocurrency bill will be.

      Find the reply here.

      CBDC

      Another reply given to Parliament outlined the benefits of CBDCs and said that the government has received a proposal from the RBI in October 2021 to amend the definition of a 'bank note' to include its digital version. Central banks like the RBI are studying the concept of CBDCs, which aim to utilise the same technology powering cryptocurrencies - blockchain - to create digital currencies of their own. Unlike the decentralised bitcoin, dogecoin or ethereum, these will be backed by a central authority and will avoid fluctuation, by pegging it in value to the official currency of the country.

      On the benefits of a CBDC, the government says that the introduction of the CBDC has the potential to provide significant benefits, such as reduced dependency on cash, higher seigniorage due to lower transaction costs and reduced settlement risk. Seigniorage is the interest and profit a central bank earns from producing more money.

      Introduction of CBDC would also possibly lead to a more robust, efficient, trusted, regulated and legal tender-based payments option, the reply says. However, it also highlights that there are also associated risks which need to be carefully evaluated against the potential benefits.

      This reply was given by Chaudhary to Rakesh Singh, the Member of Parliament from Jabalpur, Madhya Pradesh.

      It can be read here.

      Also Read: Explained: El Salvador's Zero Emission, Zero Tax 'Bitcoin City'

      Tags

      Bitcoin Ethereum Lok Sabha Pankaj Chaudhary Reserve Bank of India RBI Cryptocurrency Central Bank Digital Currency Parliament 
      Read Full Article

      Do you always want to share the authentic news with your friends?

      Subscribed Successfully...
      Enter Valid Email Id
      • Facebook
      • Twitter
      • Whatsapp
      • Telegram
      • Linkedin
      • Email
      • Print
      • link
      • Facebook
      • Twitter
      • Whatsapp
      • Telegram
      • Linkedin
      • Email
      • Print
      • link
      • Facebook
      • Twitter
      • Whatsapp
      • Telegram
      • Linkedin
      • Email
      • Print
      • link
      Next Story
      • Facebook
      • Twitter
      • Whatsapp
      • Telegram
      • Linkedin
      • Email
      • link
      • Facebook
      • Twitter
      • Whatsapp
      • Telegram
      • Linkedin
      • Email
      • link
      • Facebook
      • Twitter
      • Whatsapp
      • Telegram
      • Linkedin
      • Email
      • link
      Our website is made possible by displaying online advertisements to our visitors.
      Please consider supporting us by disabling your ad blocker. Please reload after ad blocker is disabled.
      X
      X
      We use cookies for analytics, advertising and to improve our site. You agree to our use of cookies by continuing to use our site. To know more, see our Cookie Policy and Cookie Settings.Ok
      Or, Subscribe to receive latest news via email
      Subscribed Successfully...
      Copy HTMLHTML is copied!
      There's no data to copy!