Bitcoin up 0.35% – Bank of India takes regulatory action against crypto lending apps after complaints

The bitcoin price rose 0.35% today (August 12) to $23,920.50.

Bitcoin prices moved into positive territory in the morning after the Dow Jones Industrial Average rose on Thursday (August 11) on the back of the Producer Price Index (PPI), which indicates a slowdown in inflation.

  • The Dow Jones Industrial Average rose 27.16 points, or 0.08%, to close at 33,336.67 points.
  • The S&P 500 was down 2.97 points, or 0.07%, to close at 4,207.27.
  • The Nasdaq fell 74.89 points, or 0.58%, to close at 12,779.91.

The Reserve Bank of India (RBI) has issued guidelines to improve the verification and regulatory measures for cryptocurrency lending services and cryptocurrency lender apps.

The RBI statement said that only government-supervised entities are involved. These include commercial banks and shadow banking groups, which are allowed to disburse and collect loans. These transactions are not allowed by third parties. Paying fees for apps that offer crypto lending services will be the duty of crypto lending companies, which will not pass this burden on to borrowers.

In addition, RBI has expressed concern about data storage, stating that “data stored by apps offering digital currency lending services should be subject to clear account verification.”

In January last year, the RBI formed a committee to set guidelines for crypto lending after complaints of abuse of power were filed against app operators and borrowers.

The Indian government announced earlier this year that cryptocurrency trading is not illegal in India. Thereupon, the government announced a tax on the trading of crypto assets in the same way as winnings from gambling.

“This is in a gray area, buying and selling crypto is not illegal. We have established a framework for taxing crypto assets in the same category as proceeds from horse racing bets, other types of gambling or speculation,” T.V. Somanathan, a senior Indian finance ministry official, told Bloomberg Television.

The Spot Market is Open

Friday, August 12, 2022

Crypto
Updated at
USD
Price

Change

%Change
09.50 BTC24,007.66-632.05-2.57
09.50 ETH1,902.64+2.93+0.15
09.50 LTC62.03-0.21-0.34
09.50 BNB324.58-5.02-1.52
09.50 XRP0.38-0.00-1.00

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