Which Indian Banks Support Cryptocurrency In India?

The rage over investing in Cryptocurrency has ebbed a little, as government's have not encouraged trading in them too much.

Apart from this, cryptocurrencies are now being taxed in India, if you make a capital gains on the same. A flat income tax rate is applicable to retail investors, traders, or anyone transferring crypto assets in a given financial year with no distinctions between short-term and long-term gains. For other assets like real estate, and stocks, tax is levied on the basis of a long-term capital gains or short-term capital gains, based on the holding period of the same.

In the case of cryptocurrency, it will be a flat 30%.

Which banks support cryptocurrency in India?

At the moment, we have not found any bank that openly supports cryptocurrency related services or any other form in India. The real problem is that there is no support for the instrument either from the government or any form of government authority. Reserve Bank Governor Shaktikanta Das recently termed cryptocurrencies a "clear danger" and said anything that derives value based on make-believe, without any underlying, is just speculation under a sophisticated name.

Without any form of support from the authorities, it is hard to see banks supporting cryptocurrency. Most banks are likely to toe the line and that goes without saying.

Globally too, we have seen challenges abound for the instrument. In fact, even speculative interest by investors in the currency has waned. We are constantly seeing volumes diminish and this is also having an impact on the prices. As we write crypto prices have dropped sharply.

Our own belief is that interest in Cryptocurrency is clearly dwindling after the hype created a few years back. At the moment, our strong belief is that the instrument is unlikely to get major support from the authorities. And without the same, it is hard to believe that any banks would support cryptocurrency in India.