Topic: India Bans Its Largest Fiat Currency Notes - page 8. (Read 7361 times)
It's one of the best step to eradicate black money from within the nation. Because this time all money will go out from lockers of money holders home. Because its been announced that 500 and 1000rs note after 31st December will be just a paper and nothing more than that so all money will come out of home for exchange and then they will get captured.
Yes, the government has introduced new currency notes but banned all current notes in circulation and that means the value of current Rs.500 & Rs.1000 notes is collapsed but still the government is going to pay for it because it was a decision of the government to abolish these notes. All current Rs.500 & Rs.1000 notes are no longer traded in India (except places specified by the government). Now if you have some notes then you must declare it to the government or lose all of your holdings.
India is not banning the highest denomination (₹500 and ₹1,000) notes. They are simply replacing the old banknotes with the new ones. And they have introduced the ₹2,000 banknote, which didn't existed earlier.
Yeah and I think that was the smart move taken by the Government of India to replace the currency notes as it will bring out lots of black money and it will helped the economy in the best ways as we know that in India the corruption is at its peak and this move will surely end up corrupted activities.
India is not banning the highest denomination (₹500 and ₹1,000) notes. They are simply replacing the old banknotes with the new ones. And they have introduced the ₹2,000 banknote, which didn't existed earlier.
Guys, I have been following responses on this thread.
Let me clear one thing that I am also from India and situation is under control. This step was taken to deal with fake currency notes as well as undeclared cash causing a major loss to the Indian economy.
Citizens of India can now exchange their currency notes of Rs.500 and Rs.1000 with new notes of Rs.2000 and lower (Rs.10, Rs.20, Rs.50 & Rs.100 etc).
Some members raised a question that how this topic is related to bitcoin. Well, let me explain that the popularity of bitcoin is based on cons of fiat currency and how such situation can affect other commodities or our own bitcoin.
If you are from India and you have cash not more than Rs.2,50,000/- then you can exchange it with the nearest bank or post office. If you have cash more than this limit and if you can't declare its source then you will have to pay 200% fine for the evaded tax.
Let me clear one thing that I am also from India and situation is under control. This step was taken to deal with fake currency notes as well as undeclared cash causing a major loss to the Indian economy.
Citizens of India can now exchange their currency notes of Rs.500 and Rs.1000 with new notes of Rs.2000 and lower (Rs.10, Rs.20, Rs.50 & Rs.100 etc).
Some members raised a question that how this topic is related to bitcoin. Well, let me explain that the popularity of bitcoin is based on cons of fiat currency and how such situation can affect other commodities or our own bitcoin.
If you are from India and you have cash not more than Rs.2,50,000/- then you can exchange it with the nearest bank or post office. If you have cash more than this limit and if you can't declare its source then you will have to pay 200% fine for the evaded tax.
It's all a preparation for a cashless world! transactions - to track everyone and everything!
In India, mostly 90% or more transactions are done through cash and lot of black money, and duplicate notes are around. So government want to cut down all these things, so they have no other choice. This is the best way to stop using all those activities. It is actually good move but managed it even in a better way. It has caused lot of issues to common man in their daily life activities.
This is kinda a bit serious that India already forgotten their largest fiat currency. For sure that is needed for some serious matters. Because if a note will be totally ban by a government and its currency is totally worthless. And for sure, there are countries that will do the same move as India does, this is the start of the conspiracy of cashless society, 666 is already in the world.
Quote
9:38 pm: There is no restriction of depositing your legal Rs. 500, Rs. 1000 notes for exchange. Any amount, as long as it is legal, can be exchanged.
What exactly is the definition of a legal note? I'd like to know how they'd enforce this.
Legal Note or Legal Tender
coins or banknotes that must be accepted if offered in payment of a debt.
After Dec 30th, the Banks & Government organizations will no longer accept those bills for any payment.
As an individual if you still have those bills on Jan 1st, 2017 , they become worthless because no one will take them if they know they can not be used anywhere else.
All money is only worth what you can exchange it for, these bills will no longer be exchangeable so they will be worthless.
Worst part, there will probably be many people that don't know the bills are worthless and accept them for payment after the deadline.
So anyone in India should inform their friends and family so as few people as possible are ripped off by anyone trying to pay with those bills.
It is true that still in remote and village area they dont have any knowledge about this law and still using 500 and 1000 currency,
It is true that if you are owing the legal money in the sense if you have account of what currency amount you are holding then their is no problem, but if you dont have any account about what you are holding then you will have to pay 30% tax and get your money get legalized by depositing in bank. But that too till 30th december 2016, from 31st december 2016 they will be worthless
It's all a preparation for a cashless world! transactions - to track everyone and everything!
In India, mostly 90% or more transactions are done through cash and lot of black money, and duplicate notes are around. So government want to cut down all these things, so they have no other choice. This is the best way to stop using all those activities. It is actually good move but managed it even in a better way. It has caused lot of issues to common man in their daily life activities.
Quote
9:38 pm: There is no restriction of depositing your legal Rs. 500, Rs. 1000 notes for exchange. Any amount, as long as it is legal, can be exchanged.
What exactly is the definition of a legal note? I'd like to know how they'd enforce this.
Legal Note or Legal Tender
coins or banknotes that must be accepted if offered in payment of a debt.
After Dec 30th, the Banks & Government organizations will no longer accept those bills for any payment.
As an individual if you still have those bills on Jan 1st, 2017 , they become worthless because no one will take them if they know they can not be used anywhere else.
All money is only worth what you can exchange it for, these bills will no longer be exchangeable so they will be worthless.
Worst part, there will probably be many people that don't know the bills are worthless and accept them for payment after the deadline.
So anyone in India should inform their friends and family so as few people as possible are ripped off by anyone trying to pay with those bills.
Quote
9:38 pm: There is no restriction of depositing your legal Rs. 500, Rs. 1000 notes for exchange. Any amount, as long as it is legal, can be exchanged.
What exactly is the definition of a legal note? I'd like to know how they'd enforce this.
It's all a preparation for a cashless world! transactions - to track everyone and everything!
Found that they were planning this for last six month and only few people know about this will be coming however this have made many people mad about their government as they haven't given enough time to exchange all 500 and 1000 Rs notes they have in their hands. Standing in long queue to just deposit their hard earned money can't be good solution for lower class people, all the black money are out of India and are stored in big foreign country banks.
Hello There,
India bans top currency notes such as Rs.500/- and Rs.1,000/- to prevent black money. Now there are only three notes in circulation Rs.10, Rs.20 and Rs.50
http://www.thehindu.com/news/national/live-narendra-modis-address-to-nation/article9320548.ece
Google for more news links.
Yes, There are some preventive measures taken to deal with the situation but still it is one of the masterstroke by India prime minister Narendra Modi against black money.
How do you see this action and what kind of impact this will create on the bitcoin in India?
Best
Dudeperfect
India bans top currency notes such as Rs.500/- and Rs.1,000/- to prevent black money. Now there are only three notes in circulation Rs.10, Rs.20 and Rs.50
http://www.thehindu.com/news/national/live-narendra-modis-address-to-nation/article9320548.ece
Google for more news links.
Yes, There are some preventive measures taken to deal with the situation but still it is one of the masterstroke by India prime minister Narendra Modi against black money.
How do you see this action and what kind of impact this will create on the bitcoin in India?
Best
Dudeperfect
Please explain me how it is related with bitcoin discussion? I don't see any relation with bitcoin here. Please move thread to a suitable section.
This more likely belongs to Local(India) section.
i am curious that why India would ban the 1000 notes, that's not even value $20 per. in that case when your spend your stuff in India, you pay bunch of rupee banknote. 
India was facing a problem of fake currency notes being supplied from neighbour countries which was a worrying issue. This step was not only taken to overcome this but also that somehow it was supsected that was used to finance terrorist organizations and to make the black money worthless that were being holded by corrupt officials also.
Most of these notes were of denomination 500 & 1000 Rs notes. So within midnight on 8th October, Modi announced it and made it totally worthless.
This will just place a temporary effect IMO.
Also in India, products /stuff can be easily purchased as they are cheap but not much and also people don't like to carry too much of cash in hand as there is a fear of theft. There are some people who carry cash in hand as they fear it paying it via electronic mode.
it is happening all over the world, they just call it different names. Government filth stealing peoples property. 
so now it is happening in India. Sort of like a demurrage isnt it? 45% to 100% demurrage....fiat currency has an internal value of zero, so it is the worst means of storing value. Like the M. Jackson song, it doesn't matter if its black or white.
Cyprus demurrage was 47%
German Mark - EURO currency reform was a 49% """demurrage""" LOL
At it gets worse. It will be much more painful here in Europe, where people do not traditionally hold lots of gold, like Indians do. My, oh my, when fiat money is "removed from circulation due to black money/terrorism/evil aliens" or whatever, there is bound to be much crying.
I still cannot comprehend why BTC is 700, instead of 7000, when I read things like this
so now it is happening in India. Sort of like a demurrage isnt it? 45% to 100% demurrage....fiat currency has an internal value of zero, so it is the worst means of storing value. Like the M. Jackson song, it doesn't matter if its black or white.
Cyprus demurrage was 47%
German Mark - EURO currency reform was a 49% """demurrage""" LOL
At it gets worse. It will be much more painful here in Europe, where people do not traditionally hold lots of gold, like Indians do. My, oh my, when fiat money is "removed from circulation due to black money/terrorism/evil aliens" or whatever, there is bound to be much crying.
I still cannot comprehend why BTC is 700, instead of 7000, when I read things like this
It's really scary when you think of it. I've got quite a few banknotes in my pocket, it's money but the government, with a snap of its fingers, has the power to make them worthless. So Indians will have to the bank, and explain where the money's coming from. And the more you have, the more questions there will be to answer. Is this a free world? I'm glad not to be in India!
the government has given ample chance to declare your assets basically asking the black holders to covert it into white money by paying a tax of 45 percent and the government claims that 1.45 lakh crore rupees has being claimed till now and if someone still keeps the currency they are worthless by now ,it is a strategic move to counter corrupted money which is held by corrupted
The havent ban anything they are improving the notes and raising their value, as stated above, this happened with Brazilian coin as well they changed the layout to prevent the dark impressions notes, the same way euro has raised their impression security with several things to prevent the dark printed money to circulate.
i am curious that why India would ban the 1000 notes, that's not even value $20 per. in that case when your spend your stuff in India, you pay bunch of rupee banknote.
It's really scary when you think of it. I've got quite a few banknotes in my pocket, it's money but the government, with a snap of its fingers, has the power to make them worthless. So Indians will have to the bank, and explain where the money's coming from. And the more you have, the more questions there will be to answer. Is this a free world? I'm glad not to be in India!
Hello There,
India bans top currency notes such as Rs.500/- and Rs.1,000/- to prevent black money. Now there are only three notes in circulation Rs.10, Rs.20 and Rs.50
http://www.thehindu.com/news/national/live-narendra-modis-address-to-nation/article9320548.ece
Google for more news links.
Yes, There are some preventive measures taken to deal with the situation but still it is one of the masterstroke by India prime minister Narendra Modi against black money.
How do you see this action and what kind of impact this will create on the bitcoin in India?
Best
Dudeperfect
India bans top currency notes such as Rs.500/- and Rs.1,000/- to prevent black money. Now there are only three notes in circulation Rs.10, Rs.20 and Rs.50
http://www.thehindu.com/news/national/live-narendra-modis-address-to-nation/article9320548.ece
Google for more news links.
Yes, There are some preventive measures taken to deal with the situation but still it is one of the masterstroke by India prime minister Narendra Modi against black money.
How do you see this action and what kind of impact this will create on the bitcoin in India?
Best
Dudeperfect
I live in India, there are 4 notes in circulation now, Rs. 10, Rs. 20, Rs.50, and the Rs. 100.
The new notes will come in circulation from the Jan of 2017.
We just have to wait till then.
Sometimes make me think that with bitcoin we are playing right into the hands of the movement to restrict our funds.
Crypto is perfect for governments if they control it and can take it away in one click or divvy up the funds between the elite.
Its funny how those attracted to bitcoin initially wanted less government and now it is starting to look like government is going at it the same for total polar opposite reasons.
There is also a trend of eliminating the lower coins and bills in some Countries to eliminate costs and weighing people down with change.
This always looked to me as a reason to over charge the customer due to not having the smaller change and rounding up.
Crypto is perfect for governments if they control it and can take it away in one click or divvy up the funds between the elite.
Its funny how those attracted to bitcoin initially wanted less government and now it is starting to look like government is going at it the same for total polar opposite reasons.
There is also a trend of eliminating the lower coins and bills in some Countries to eliminate costs and weighing people down with change.
This always looked to me as a reason to over charge the customer due to not having the smaller change and rounding up.
Not really imo. While every transaction can be traced through the blockchain, it is next to impossible to prove certain addresses belong to a certain person.
Even if you need to "register" an address with the government, you can easily create more for whatever reasons.
The technology behind bitcoin may help governments and banks though.
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