There are no regulations governing virtual currencies in India and the RBI has not given any licence to any entity/company to operate such currencies.
Finance Minister Arun Jaitley on Thursday said all crypto currencies, which include bitcoins, are illegal and the government will take all measures to eliminate their use.
"The government does not consider crypto currencies as legal tender or coin and (will) take all measures to eliminate the use of crypto assets...," he said while presenting the Union Budget 2018-19 in the Lok Sabha.
In 2017, Jaitley had informed Parliament that there are no regulations governing virtual currencies in India and the RBI has not given any licence to any entity/company to operate such currencies.
He had further said that taking cognisance of concerns raised at various fora from time to time on increasing use of virtual currencies (VCs) and the regulatory challenges, the Department of Economic Affairs (DEA) constituted a committee with representations from DEA, Department of Financial Services (DFS), Ministry of Home Affairs (MHA), RBI, Niti Aayog and SBI.
The committee has submitted its report and it is being examined.
Photograph: Dado Ruvic/Reuters
