REGULATORY CHALLENGES OF BITCOIN MINING AND TRADING: NEED FOR INTERNATIONAL HARMONIZATION

With a broader outset to revolutionize virtual currency market “bitcoins” advanced the way through startups and legal roadblocks. The paper reflects the “status quo” in regulations and intentions of the government towards this peer to peer system of cryptocurrency. The authors have tried to review the RBI circular warning if 2013 owing to the facet of it being a risk or a boon to the traders and consumers. The work has a pragmatic approach towards bitcoins being a currency, property or a computer programme. Further, we have tried to look into other jurisdictions and how it behaves when it comes to legality and taxation of the same. This is a brief comment with a need to harmonize the virtual worth, taxability, legality, ease of doing business and threat free. The objective is to seek for an international harmonization to seek legality and avoid hindrances in bitcoin trading and mining.