• UGI USER
  • Jan 08, 2024
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INDIAN CRYPTO SURGE AFTER FIU NOTICE

Why in the News?

  • Financial Intelligence Unit (FIU) issued compliance notices to nine global crypto exchanges.
  • Indian platforms experience increased trading volumes, deposits, and user registrations.
Source: Blockgeek

About the Impact :

  • Indian investors, initially drawn to foreign exchanges due to Budget 2022 taxation, return to familiar local setups.

About Financial Intelligence Unit – India (FIU-IND):

  • FIU-IND operates under the Department of Revenue, Government of India.
  • Its primary function is to gather financial intelligence related to offenses under the Prevention of Money Laundering Act, 2002.
  • Established in November 2004, FIU-IND directly reports to the Economic Intelligence Council (EIC).
  • The EIC is headed by the Finance Minister, indicating its high-level association with economic intelligence matters.
About Crypto Currency

·  Cryptocurrency is a digital or virtual currency utilizing cryptography for security.

·  It operates in a decentralized manner, free from government or institutional control.

·  Transactions are recorded on a public digital ledger known as blockchain.

·  Cryptocurrency acquisition can occur through “mining,” involving solving mathematical equations to validate transactions.