Hello Steemit Friends,

As you all know a lot of people from India are investing into Bitcoin. However Bitcoin and other virtual currencies are unlikely to be declared illegal in India but their regulatory fate remains uncertain as authorities still try to determine it. There were many discussion raised regarding Bitcoin investment, if it to be banned or legalized.But till date Indian government is yet to give a full and final decision on it.

After a discussion in the moth of April, official said :- The panel does not want to openly term it a currency like how Japan has. But it will take more time to come up with rules around it [bitcoin].

RBI mentioned :-"Any user, holder, investor or trader dealing with virtual currencies is doing it at their own risk"

The RBI has already cautioned users, holders and traders of virtual currency, including Bitcoin, about the potential financial, legal and security risks arising from the usage.They believe it could result in breach of anti-money laundering provisions.

With the like of Indian exchanges like Zebpay and Unocoin,the combined bitcoin trading volumes could be in the range of Rs 150-200 crore every month. As data provided by Zepbay, they have a total of 1 million user and is increasing each day.

We all know how Bitcoin crashed after Chinal bans ICO's and gives order to shut down all exchanges by end of this month.I don't thing being on steemit I have to elaborate on this.

According to the data available with Zebpay, the value of the currency in India has declined from Rs 3,40,116 per unit on September 2 to hit a low of Rs 2,29,417 on September 15, indicating a fall of 33 per cent.However it was a good buying point for many investor and the price increased and is now selling around Rs 2,65,000($4100 approx). In India people use the cryptocurrency just as an investment vehicle and they bet on bitcoin,instead of it original use.We hardly have any shops or restaurant taking bitcoin as payment. There are even no Bitcoin ATM in India.

Now it like now  RBI(Reserve Bank of India) is planning to introduce its own cryptocurrency based on a blockchain

If the reports and new are believed to be true, it looks like the central government is considering a proposal to introduce its cryptocurrency similar to Bitcoin.With Narendra Modi's vision of of Digital India, every chance it might come true.As per this report it looks like the central government of India has discussed the possibility of a state-cryptocurrency that would be issued .But the thing is "it will be backed by the central bank itself". Now this clearly indicates that Indian government supports "blockchain technology" but not Bitcoin.It the rumors are to be believed true,the are planning to name it as "Lakshmi" . As per Hindu mythology,Goddess Lakshmi signifies "wealth and prosperity" .

It was at FinTech conference ,RBI executive director Sudarshan Sen revealed "Right now, we have a group of people who are looking at fiat cryptocurrencies. Something that is an alternative to the Indian rupee, so to speak. We are looking at that closely." 

What do you think, Are we good at cryptocurrency being decentralized? Or we want government regulation implemented on it?

Source :- 1 , 2 ,3