New Crypto Bill
Part of: Prelims and GS-III – Awareness in the fields of IT
Context The Cryptocurrency and Regulation of Official Digital Currency Bill, 2021 will introduce in the winter session of Parliament
- Regulate cryptocurrency and ostensibly ban all private cryptocurrencies.
- Create a facilitative framework for creation of the official digital currency to be issued by the RBI.
- So far, no public consultations have been held.
What is the Present status?
- An inter-ministerial panel on cryptocurrency recommended that all private cryptocurrencies, except any virtual currencies issued by state, will be prohibited in India.
- RBI has raised concerns about the cryptocurrencies.
What are Cryptocurrencies?
- Digital currencies in which encryption techniques are used to regulate the generation of units of currency.
- Examples: Bitcoin, Ethereum etc.