The Growth of Crypto Currency in India: Its Challenges & Impacts on Legislation
Keywords:
Digital currencies, Bitcoin, Ethereum, Potential, ScamsAbstract
In the past few years, more and more people in India have been using and investing in digital
currencies like Bitcoin, Ethereum, and Ripple. The popularity of crypto currency has increased a lot.
But, this growth has also brought some difficulties for the Indian government, especially in terms of
controlling and managing crypto currencies. One big problem is that it's not clear if crypto currencies
are legal in India. The Reserve Bank of India (RBI) has said that investing in crypto-currencies is risky,
but the government has not made any official rules for digital currencies yet. This lack of control and
security has also caused worries about the possibility of illegal activities like hiding money or other
wrong actions. There have been many famous cases of fraud involving digital money in India, which
is causing people to demand more supervision of the industry. Even though there are difficulties,
crypto currency could have a big effect on India's economy. Digital currencies can help more people
become a part of the financial system, especially those who can't use regular banks. They can also
make it easier to send money across borders and decrease the fees of sending money home.
The Indian government is looking for ways to use and benefit from crypto currency while reducing
the risks involved. In 2021, the government made a new law called the Crypto Currency and
Regulation of Official Digital Currency Bill, 2021. This law is all about creating rules for how digital
money can be used and controlled in India. The Indian government is considering a bill that shows
they want to support and understand crypto-currency, while also finding solutions to the problems it
brings. We don't know yet how this new law will affect the growth of crypto-currency in India, but it
will probably influence the future of the industry in the country.
DOI: 10.5281/zenodo.10444887
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