India to Issue Its Own Bitcoin-Like Cryptocurrency in the Form of Legal Tender

While working towards the creation of a legal framework for bitcoin currencies and other formsof digital currencies, the Government of India is now thinking about the launch of its own bitcoin-like cryptocurrency. The proposed cryptocurrency by the government will be issued by the RBI (Reserve Bank of India).

The Government of India is thinking about giving out a proposal towards introducing its own cryptocurrency which would be similar to bitcoin. This cryptocurrency which will be run by the state will be referred to as “Lakshmi” –the name of the Hindu Goddess of wealth, prosperity, and fortune. As per a recent source to the overall development of the case, the proposal of the introduction of its own cryptocurrency had been discussed by a committee of the officials of the government. Whenever any decision is taken, the cryptocurrency will come in the domain of the RBI (Reserve Bank of India) as well as some Acts like the Currency Act which might need some amendments. As such, this might be a time-consuming process for now.

This particular news is after a speech on the cryptocurrencies given by the Executive Director of RBI Sudarshan Sen at the Conference of India Fintech Day. At the same time, he also hinted that the government could be introducing its own set of cryptocurrencies which will be issued by the RBI. At the current time, RBI has a team of officials who are looking at the option of flat currencies which will serve as an alternative to the Indian Rupee. In addition to this, he also said that the Central Bank is not so comfortable with the concept of non-flat currencies like the bitcoin.

At the same time, the Government of India has been diligently working towards the creation of a legal framework that would be aimed towards bitcoin along with other digital currencies. In the month of April, the government had set up an individual committee for investigating the bitcoin. It was in last month that the Money  Control website reported about the submission of the report by the committee to the government.