Bitcoins/Cryptos in Budget :
FM’s mention about Crypto-Assets/Bitcoins in his budget speech was widely misunderstood. As a result, price of Bitcoin & Bitcoin Cash crashed by approx 50 %. However, the same recovered immediately as the buyers with right knowledge & interpretation of the FM’s speech came out for buying spree. Here is a quote of exact para from FM’s speech below for all to have a look :
“112.Distributed ledger system or the block chain technology allows organization of any chain of records or transactions without the need of intermediaries. The Government does not consider crypto-currencies legal tender or coin and will take all measures to eliminate use of these crypto-assets in financing illegitimate activities or as part of the payment system. The Government will explore use of block chain technology proactively for ushering in digital economy”
It was only about eliminating use of these crypto-assets in financing illegitimate activities and acceptance as a payment system only.
There was no mention about Investments in cryptos/Bitcoins. FM called Cryptos as an ASSET. This may be an indication about government’s primary understanding about Cryptos/Bitcoins.
FM has mentioned that the government is positive about block chain technology or Distributed ledger system on which the said digital assets are based.
FM’s following words about use of this technology in digital economy are quite exciting for the crypto/Bitcoin ecosystem :
“The Government will explore use of block chain technology proactively for ushering in digital economy”
In short, there is nothing in the budget declaring Bitcoins or crypto currency as illegal.
home Submit Article Discussion