Situation of the Bitcoins in India.
Due to the increase that bitcoin has had, with respect to the price, in recent times in India the government has taken the decision to increase the vigilance around the transactions linked with the cryptocurrencies and thus to avoid fraud. According to reports from some of the country's media, the Ministry of Corporate Affairs is inspecting companies dealing with BTC.
The report suggests that it is not only the Bitcoin trading platforms that operate in India, but that all companies in general are under the scanner to identify if they are dealing with the cryptocurrencies at any stage. It is said that the Office of Registry of Companies and Office of Investigation of Serious Fraud is responsible for the responsibility, through a recent communication sent by the Ministry. In the announcement set by the Ministry emphasizes that the government aims to safeguard the public interest and to examine existing global legal structures of digital coins. However, there are groups within the congress that oppose the use of technology Bitcoin, cataloging it as a means used for money laundering and financing Of terrorism. It is noteworthy that these accusations are without foundation before the government of India, since this one has supported and protected Bitcoin for some time.
While recent developments have a similarity with the actions of the People's Bank of China earlier this year, resulting in a freeze of transactions by Bitcoin exchanges for months, Indian trading platforms, possibly not Are facing such a problem. All Indian "Big Four" trading platforms already have KYC frameworks, which require individuals and companies to provide identity, registration, address, and bank documents before making transactions.
Last April the government of India, specifically the Ministry of Finance, had already appointed a committee that would study digital currencies. The results of this investigation were due within three months of the order's designation; however, due to fraud and speculation In the price of BTC (bitcoin), it was decided, with the collaboration of other agencies, to increase the surveillance and control of companies and portfolios that operate with this digital currency.