Government sets up a panel to examine framework for Virtual Currencies

The Government has set up an Inter-Disciplinary Committee to examine the existing framework with regard to Virtual Currencies.

The Committee will take stock of the present status of Virtual Currencies both in India and globally. It will also examine the existing global regulatory and legal structures governing these Currencies. 

The Finance Ministry said, the committee will suggest measures for dealing with such currencies including issues relating to consumer protection



and money laundering. The Ministry said, the Committee chaired by Special Secretary (Economic Affairs) will submit its report within three months.

The circulation of Virtual Currencies which are also known as Digital and Crypto Currencies has been a cause of concern. Reserve Bank of India had also cautioned the users, holders and traders of Virtual currencies, about the potential financial, operational, legal, customer protection and security related risks.