Can cryptocurrency be converted to cash? Discuss!

Answer: Yes, cryptocurrency can be converted to cash. In fact, it is one of the most fundamental attractions of this type of currency. Cryptocurrency is an extremely volatile virtual currency whose value fluctuates a lot. However, it is quite easy to convert it into cash. The process of converting cryptocurrency to cash depends on the …

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Are cryptocurrency exchanges regulated? Discuss!

Answer: Not only is there no such regulation, but the Reserve Bank of India (RBI) had banned banks from supporting crypto transactions until it was overturned by the Supreme Court order of March 2020. With the Supreme Court overturning this ban, cryptocurrency exchanges have been allowed to operate in India and have grown in number …

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Are cryptocurrency a good investment? Discuss!

Answer: Of course, cryptocurrency is a very volatile investment and there’s no guarantee that this growth will continue, but the trend is clear: cryptocurrency is gaining acceptance in the financial world. That’s why it’s important to know that you can get into cryptocurrency investing even if you’re not wealthy or connected. There are plenty of …

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Are cryptocurrency safe?

Answer: A cryptocurrency is a form of digital money. It’s designed to be secure and anonymous. Bitcoin, for example, is a cryptocurrency that’s not tied to any country or bank and uses encryption technology to control the creation and transfer of money. Cryptocurrency transactions are anonymous, untraceable, and are made with no middlemen meaning no …

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Are cryptocurrency losses tax deductible?

Answer: The income tax department is keen to track virtual digital assets such as cryptocurrency and non-fungible tokens (NFT). India’s tax authority has said that income from the transfer of such assets will be taxed at 30% in line with the tax rate on capital gains. While presenting the Union Budget 2021-22, finance minister Nirmala …

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Are Cryptocurrency Gains Taxable?

Answer: According to the Income Tax Department, if your business deals in cryptocurrency then it falls under the head ‘Profits and Gains of Business or Profession and is taxable under the provisions of the Income Tax Act. A cryptocurrency is a digital currency. It is generated and stored electronically in the blockchain, using encryption techniques …

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