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India Prohibits Buying Virtual Currency with Credit Cards


NEW DELHI - The Reserve Bank of India announces in writing, 'worries globally and nationally require banks to warn community members of the potential economic, financial, operational, legal, customer protection and security risks for bitcoin, cryptocurrencies and virtual currencies' .

But the bank does not prohibit the use of credit cards for other institutions.

Reported through Forbes, before China and India,
many banks in the United Kingdom and the United States (US) prohibit the use of credit cards to buy bitcoin and other crypto types.

 One of them is the largest lender in Britain, Kelly, which prohibits credit card customers from buying virtual currency types. Then the move was continued by several other institutions, such as US JP Morgan Chase & Co., and Citi Group.

Indian Finance Minister Arun Jaitley said the ban on crypto currencies had been formed since the budget meeting that took place February 1, 2018. "We forbid people to invest in cryptographic currencies," Jaitley explained.

 India expressly eliminates the type of cryptography as an asset, either for trading activities or part of the payment system.
The Indian government continues to study the use of blockchain technology proactively in the digital economy.

The Reserve Bank of India does not yet give licenses or authorizations to entities and companies that run the scheme, and handle bitcoin and other virtual coins.

Although the ban has been announced, investors and owners of virtual currencies assume that the government's statement is only limited to prohibiting digital assets that violate the law.

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