Topic: India Bans Its Largest Fiat Currency Notes - page 2. (Read 7374 times)

I was looking this up, and seems a lot of people are facing issues. Is this step actually working ? I would imagine all the money to be in the form of investments since their currency is much smaller than dollars, i.e 10 100$ bills are equivalent to a bundle of their biggest currency.

Yes, even the great Amartya Sen, a Noble Laureate from India in economy has greatly critisized this move by stating, "To achieve something good, sometimes bad things happen before good, but it doesnt necessarily mean that all bad things are for the greater good."




Could you please explain your view? How can they expect to track the money? Refer to my previous post, already an industry has about started just for exchanging the money, people are hiring thousands to just exchange money, so how will government track the black money if the come in very small amounts at a time from various thousand sources?? Its impossible.

Meanwhile, the banks have somehow become vulnerable to hacking, i should say, as just some days ago, 70,000 INR was stolen off from an artist's bank, at midnight. So its a lose-lose situation for us.

Although in my view government have done the best way to eliminate black money because all money from inside the room had to be taken out into light and this from now storing money would be tracked.

It's favorable for bitcoin by all means

Just read this. This sounds crazy, wouldn't this destabilize their entire economy ? Haven't other countries already implemented this in the past and have failed ? I can't see why an economist in the right mind would take this step.

It wont help to freeze the black money anyhow. Dont you see? The ones with the money are either hiring employees to exchange their money (a person reportedly had hired 25,000 employees solely for this purpose), and the 2000 INR notes are helping them hoard up the money even more. Only the common people are the ones having problems, they are having to giving 195 notes of rupees 10 in exchange for 1 2000 INR note if a person is buying something worth 50 INR. The business in general has been put to a halt. People cant eat. Banks dont have notes that they need to exchange. ATMs have large notices in front of them saying that no money is present in ATM. People are bashing up each other to get in front of the queue. People are being killed. Choas is everywhere. Many people dont even know how to survive, so tell me, how will they even dream about investing in something as volatile as bitcoin?

I have been to India, and although exchanges such as Localbitcoins are active there, the user base is very small. A lot of people still associate Bitcoins with the purchase of illegal stuff, and in general most of the users are in the 15-30 age range. The Indian mainstream media almost never mentions Bitcoin, and this is one of the main drawbacks in popularizing the crypto-currency there.

Nope, the spike hasnt ended. It will increase, again, it is starting to do so, and will soon be high again. I dont think the chance of demonetization to widen user base in India by the bitcoin has been lost,....yet. I fail to see how RBI will finish cash circulation in all areas within some weeks, I think it will atleast take 3 months or even more to finish it. By then, the user base will already have been widened in India, I think.

I don't think that the transactions in India will be having any impact on the global exchange rates. The usage in India remains limited, thanks to the draconian laws and regulations. And from what I am seeing, Bitcoin just lost an opportunity to utilize the demonetization to widen its user base in India.

That is good news for every body interested in buying bitcoins, some fools even said it would be touching 1,50,000 Rs and the global market has been keenly watching what it has to offer. Glad to see price out there are softening, so will the global prices also fall?

Seems like the spike has ended. The exchange rates in localbitcoins are down to INR 60,000 per coin (down from the peak of INR 66,000 two days ago). It still represents a premium of around 20%, but the trend is downwards.

Crypto future is brighter and brighter This is happening worldwide

They are already buying Bitcoins at very high prices.
One of my friends lives there and he said that price in USA is much better compared to what is going on there in India.
They are selling it for 25-30% more the current price we see at preev.

No wonder Indian people noticed idiocy of discontinuing higher denomination banknotes and turned to cryptocurrency instead.
They would rather buy Bitcoin at an inflated price than store a pile of hundred-rupee bills under their beds.

the situation is pathetic,all the ATMs are having shortage of notes at the moment and the ones that have notes would only dispense one 2000 rupee note per individual and most of the small shops would not accept the 2000 rupee note as they don't have enough balance to give the change .

In that case, I strongly suspect that businessmen and other people are hoarding the lower denomination notes. Two days back, I had a chat with my relatives in India. They are saying that the ₹500 banknote is still in short supply, but there are enough ₹100 notes floating around. But still, it will be quite difficult, to give the change for a ₹2,000 note in ₹100 bills.

Seems like you guys are having really hard situation there but this is transition phase and this ban may help Indian government to freeze really hell lot of black money. Regarding changes i think you guys can try online transfer or mobile payment wallet like oxygen wallet or something similar (have heard about them in television). However i think situation is even worst in remote areas where people have no access to banks or internet/mobile banking.

Other notes than 2000/- INR circulation has been almost stopped. All ATM transactions are yielding mostly 2000/- INR and if we try to transact below it (2000/- is the limit again) its saying no money. And getting change is very very difficult, as giving change of 2000 INR when a person is buying something that costs 50 INR, they have to provide a change of 1950 INR, which is very difficult to do as it will mean giving the people 195 notes of 10 INR, or 39 notes of 50 INR. So masses are not accepting 2000 INR always. Its a very difficult situation here.

I hope every country should install these new technologies like block chain to control the black money, because every four years bitcoin will be halving so it will reduces to 1/4 of total transaction will be converted. I hope now Indian should carry smaller notes like 10, 50. I don't know exactly how those notes value. But to carry smaller notes it is very difficult may be.

Widespread repression on black market money India could lead to a ban on gold imports as text by the Indian Bullion & Jewelers Association (IBJA) to be believed.

The professional organization has its 2,500 members a text message to them in the government's proposals on a possible fate of gold.

"We hear some areas of this possibility (ban on gold imports and the progress of the settlement date), as if nothing has officially yet," said Surendra Mehta, national secretary, IBJA. The government's struggle against black money and its members the possibility of such action on the ground. We have asked our members to support the government wholeheartedly.
The government goes after not only imports but also information held by the jewelers of the nation. "Already 600 jewelers receive advice from the tax authorities for their sale until November 8. We are aware that some trade import members only applied to the same selling old notes to disclose a substantial premium. Otherwise, if it leads all jewelers to collapse the old notes or declare on November 15, it would not necessarily consider a ban on imports.

As gold becomes less available to the Indian public, this may not be one thing for India's average demand Bitcoin. The price of Bitcoins in rupees has already exploded. As banning the move to gold imports to the surprise move India minister Narendra Modi was destined to ban the old 500 and 1000 rupees to the black market to undermine the stores of wealth.

Sandeep Goenka, the co-founder of Zebpay, a compliant Bitcoin portfolio provider application held an AMA 21 November It paid a glimpse of the Bitcoin market amid a changing landscape of India's money. Users asked the CEO a big difference between buying Bitcoins in India versus Western countries.

"Since we do not import bitcoins, which limits our offer to the Indians," says Goenka, "when price increases in India there are more buyers than sellers. Prices are higher than world prices due to an increase in local demand. "Most of the price is higher than the world price. Of the players were clearly the company's relationship to Bitcoin, and Mr. Goenka gave to explain much of the AMA what is Bitcoin. He explained that the moment to forbid any trend for nation-states Bitcoin.