CRYPTOCURRENCY                  

 INTRODUCTION

Cryptocurrency is a type of digital currency in which the transactions are verified and records maintained by a decentralized system using cryptography, rather than by the centralized authority. Which make it nearly impossible to counterfeit or double-spend. Cryptocurrency is the type of currency which can purchased or produce by mining.

IS CRYPTOCURRENCY IS RISKY?

Cryptocurrencies are risky but if you are careful and understand the market, they can also be very rewarding. They have been drawing lot of attention from investors and crypto prices have zoomed over last year. But if we see the market of the cryptocurrency then we know that the market is stable all the time. In the month of mid-May, The Elon Musk announced that they won’t accept the payment through Bitcoin and after this the market will come crash down and it down by around 40% in a day, It’s 1^st time in the entire history of cryptocurrency that the market falls around 40% in a day. Now it’s going to stable like early it is, So the risk in the cryptocurrency is too much high, to make some money through this you have to invest it for long time wit some patience and only then you can make money through this.

LEGALITY OF CRYPTOCURRENCY IN COUNTRIES

Countries in which Cryptocurrency is Legal-

In United State

They Prominent business like Dish Network, Microsoft, Subway, and Overstock welcome payment in Bitcoin. The U.S. Department of Treasury’s has been issuing guidance on Bitcoin since 2013.The Treasury has defined bitcoin not as currency, but as a money service business (MSB).

In Canada

In Canada the transections of Bitcoin is viewed as barter transections, and the income which is generated by Cryptocurrency is treated as business income. They consider Bitcoin exchange to be money service business, This bring them under the purview of the anti-money laundering (AML).

In Australia

Australia also consider Bitcoin neither money nor a foreign currency, with the Australian Taxation Office (ATO) ruling it an asset for capital gains tax purposes.

In European Union

The European Court of Justice (ECJ) ruled that buying and selling digital currencies is considered a supply of service and that this is exempt from value added tax in all European Union member states.

El Salvador

It is the only country in the world to allow Bitcoin as a legal tender. In June 2021, the country’s Congress approved a proposal by President Nayib Bukele to formally adopt Bitcoin as a form of payment.

 

Countries in which Cryptocurrency is Illegal-

CHINA

In China Bitcoin is essentially banned. Not a bank or a financial institutions were transection or dealing in bitcoin. And the government of China has cracked down on miners.

RUSSIA

Bitcoin is prohibited in Russia, it was illegal to use the Bitcoin as a payment method.

VIETNAM

The government of Vietnam and it’s state bank maintains that bitcoin is not a legitimate payment method.

BOLIVIA, COLUMBIA, and ECUADOR

They countries are banned the use of cryptocurrency and In Ecuador the cryptocurrency were banned by the majority vote in the national assembly

 

LEGALITY OR ILLEGALITY OF CRYPTOCURRENCY IN INDIA-

Cryptocurrencies are not illegal in India. So if you want to buy, let's say Bitcoins, you can do so and start trading in it. However, India does not have a regulatory framework to govern cryptocurrencies as of now.

The government had constituted an Inter-Ministerial Committee (IMC) on November 2, 2017, to study virtual currencies. The Group's report, along with a Draft Bill, flagged the positive aspect of distributed-ledger technology and suggested various applications, especially in financial services, for its use in India, including banks and other financial firms.