There is a growing interest in bitcoin in India. Tech savvy, young people or citizens who are not trusting in the national currency are investing in the cryptocurrency.
Recent Demonitization(Notes banned) of 1000 and 500 Rupee Notes which constitutes 86% of total national currency has put a fear in the country citizens. People are figuring out alternatives to invest their money and keep their money safe. What better alternative other than Bitcoin.
The number of bitcoin investors is rising in India. Multiple firms reported there were approximately 6,00,000 bitcoin users in India. The cryptocurrency companies in India seek to grow their customer base by proving that their platform is secure and trustworthy. The firms often request documents, including government issued ID and Permanent Account Number (PAN), to improve the security at the platforms.
Many merchants accept bitcoin through the Bangalore-based Unocoin, one of the largest bitcoin exchanges in the country, which also provides merchant services. Early this month, the company reported that it had surpassed 300,000 registered users. The platform also processes more than 200 million INR every month, according to CEO and co-founder Sathvik Vishwanath.
The government is currently in discussions about how to best regulate bitcoin. A task force has been formed to evaluate the situation and come up with recommendations, which is expected to take 6 months. The Supreme Court has also weighed in and ordered the Reserve Bank of India (RBI) to report on the risks of digital currencies in four weeks. Eventually, if India decides to regulate bitcoin, it could fall under the jurisdiction of the RBI or the Securities and Exchange Board of India (SEBI).
Bitcoin’s future in India looks promising. Service providers are keen to expand the scope of usage, with the hope that the government and regulatory authorities provides them adequate frameworks.
