The word ‘Cryptocurrency’ often makes our ears rise but only a few people know its actual meaning. A cryptocurrency is a digital asset designed to work as a medium of exchange wherein individual coin ownership records are stored in a ledger existing in a form of computerized database using strong cryptography to secure transaction records, to control the creation of additional coins, and to verify the transfer of coin ownership. It might come as a shocker to you but it is the truth that cryptocurrency does not exist in physical form and is not issued by the Central Government.
The Indian supreme court has ruled that the RBI circular which bans banks from providing services to crypto businesses is unconstitutional. The RBI banking ban on the crypto industry has now been lifted. Both the government and the RBI have confirmed that cryptocurrencies, including bitcoin, are legal in India. When a cryptocurrency is minted or created prior to issuance or issued by a single issuer, it is generally considered centralized. It was first outlined in a 2008 white paper published by Satoshi Nakamoto, a pseudonymous person or group. In early 2009, Nakamoto released Bitcoin to the public, and a group of enthusiastic supporters began exchanging and mining the currency. A number of cryptocurrency exchanges started operating in India between 2012- 2017 providing much needed depth and volume to the Indian Cryptocurrency system.
The biggest question arises in accordance to it is that “Is cryptocurrency a good investment?”, after a lot of research it can be said that investing in it can be good and bad. One should keep in mind that when they enter the world of cryptocurrency, they should be ready to lose every penny, it probably won’t happen, but it could, and you need to go into the cryptocurrency with some stored-up resilience.
- VANSHIKA MAHAJAN