Due to the devastation of crypto exchange, there is an atmosphere of fear in india, cryptocurrency is not recognized in the country
Billions of dollars were lost to investors due to a massive collapse in the cryptocurrency market around the world. However, due to the cautious stance of the government and RBI, this has not affected indian investors. RBI has been repeatedly refusing to recognize cryptocurrencies. Also warned on cryptocurrency transactions.
Sam Bankman-Fried, the head of cryptocurrency exchange FTX, was a superstar of the tech world until two days ago. He was hailed as a savior of crypto, the latest force in Democratic politics, and potentially the world's first trillionaire, but today he is the biggest villain in the crypto world. The cryptocurrency exchange run by 30-year-old Bankman-Fried went bankrupt on friday and investors and customers felt cheated. If you are also thinking of investing in crypto, then know very well that you are entering a roadblock in which no one knows when it will happen.
Gurugram-based electronics engineer Brajesh Sharma invested Rs 2 lakh in cryptocurrencies five years ago.
Till last year, he was very excited about investing, but now fear has started creeping in. Something similar is the thinking of software engineer Ritesh Kumar in Bangalore. He says that neither cryptocurrency is recognized in india nor companies running crypto exchanges reveal anything openly about themselves. In such a situation, if money is lost, then we cannot even knock on any door. Huh. In September, indian crypto markets Luna and Terra lost cryptocurrencies worth millions of dollars.When the government introduced a tax on the exchange of crypto, the market was expected to return to stability, but the FTX case ruined the prospects.
The indian government charges tax on crypto exchanges but does not recognize cryptocurrencies. Experts say that cryptocurrencies are risky gambling. The collapse of FTX could lead to a liquidity crisis in the market, which will be borne by other cryptocurrencies. Rajagopal Menon, vice-president of India's largest cryptocurrency exchange WazirX, fears that the worst is not over yet and anything could happen. He said that the already slowing market will have to deal with this new uncertainty.
Billions of dollars were lost to investors due to a massive collapse in the cryptocurrency market around the world. However, due to the cautious stance of the government and RBI, this has not affected indian investors. RBI has been repeatedly refusing to recognize cryptocurrencies. Also warned on cryptocurrency transactions. Apart from this, the government has also imposed a hefty tax of 30 percent on cryptocurrencies and an additional TDS of one percent on transactions.
According to the data, the global cryptocurrency market capitalization stood at $3 trillion (Rs 234.7 lakh crore) in 2021. In just one year, its total market value has come down from $ 2 trillion (Rs 165 lakh crore) to $ 1 trillion (Rs 81.23 lakh crore).
At the same time, according to the survey report of the global cryptocurrency exchange KuCoin, there are more than 115 million crypto investors in India.
