FinMin may form panel to keep a tab on Bitcoin transactions

In a bid to check surreptitious transactions in Bitcoin, Union Finance Ministry is likely to set up a panel for scanning the deals in the digital currency.
 
CNBC on its official twitter account has stated that the ministry would form a panel to frame a response to Bitcoin dealing in India.

Exclusive sources to CNBC-TV18: @FinMinIndia forms panel to frame a response to Bitcoin dealing in India pic.twitter.com/rNI5LkfTno

— CNBC-TV18 (@CNBCTV18Live) December 15, 2017

 
The new panel will reportedly be headed by Department of Economic Affairs (DEA) Secretary Subhash Chandra Garg, while RBI Deputy Guv Kanungo, Sebi Chairman Ajay Tyagi and Income Tax Secretary are expected to be other members.
 
It has also been suggested to declare Bitcoin illegal if measures to curb the cryptocurrency are ineffective.
 
Besides, the suggestion has also come that agencies dealing with Bitcoin in India should shut their shop.
 
The move comes after the Income Tax department team carried out a survey at major Bitcoin exchanges across the country on suspicion of alleged tax evasion.
 
Under Section 133A of the IT Act, the survey was conducted for gathering evidence to establish the identity of investors and traders, transaction undertaken by them, identity of counterparties, related bank accounts used, among others.
 
Earlier, the Reserve Bank of India has also cautioned users, holders and traders of virtual currencies including Bitcoin.
 
Currently, Bitcoin is trading at $17,174.31 higher by 3.89%, after touching a high of $17,583.20 on December 15, as per CoinDesk data.
 
In India, one bitcoin is priced at over Rs 11.05 lakh presently.
 
Bitcoin is the first decentralised digital currency wherein the system works without a central repository or single administrator.