Tag: Cryptocurrencies

Is bitcoin banned in Nepal?
Ban of Transaction of Bitcoin and other cryptocurrencies in Nepal.

The central bank of Nepal, Nepal Rastra Bank (“NRB”) published a notice pursuant to Nepal Rastra Bank Act 2001 (“NRB Act”) and Foreign Exchange (Regulation) Act 1962 (“FERA”) prohibiting the usage of Bitcoin in Nepal. NRB has not recognized Bitcoins as a valid currency in Nepal.

A few highlights on the ban:
1. Laws of Nepal: The Nepal Rastra Bank, Nepal’s central bank, highlighted two laws in its statement banning Bitcoin and its transactions: the foreign exchange statute of 2019 BS and the Nepal Rastra Bank Act of 2058 BS. It basically means that you can’t do bitcoin transactions or use bitcoin to swap foreign or Nepali currency in Nepal because bitcoin isn’t classified as a currency by the Nepali government, therefore utilizing the internet for bitcoin transactions or exchange is unlawful.
2. Lack of regulations: NRB and Nepal govt is unable to have proper regulation over bitcoin transactions, as it’s mostly done over internet and Nepal doesn’t yet have the technology needed to regulate it, and hence it may be banned.
3. Use in illegal activities: Reports of bitcoin being used for money laundering or making black money into white by converting into Bitcoin, among other cases is another reason.
4. Damage to Nepali economy: Bitcoin transactions unlike other banking transactions can’t be taxed, so there will be loss of revenue, plus if more Nepalis use bitcoins, the monetary system of Nepal may be affected, Bitcoin is also a very volatile currency with lots of ups and downs and long term it can cause severe problems. NRB is tasked with maintaining the financial stability of Nepal and maybe it felt, bitcoin was a threat.
These are only a few of the reasons, in my opinion, why bitcoin is prohibited in Nepal. The existing Nepali laws prohibit it, and the central bank believes that bitcoin cannot be effectively regulated, that it can be used for unlawful purposes, and that it will harm the Nepali economy in the long run. The Nepalese government has recently taken tough measures against bitcoin transactions, including arresting people who were mining bitcoin or had large amounts of bitcoin, shutting down Nepal’s largest bitcoin exchange operator Bitsewa and arresting its owners, and even arresting a Nepali politician from a minor party for bitcoin trading.
January 3, 2023
Is cryptocurrency legal in Nepal?

So far, cryptocurrencies are illegal in a few countries, whereas the rest of the world either sees it as fitting to utilise these ‘monies’, or keeps them in a grey area of financial law. Similarly, though most countries in the world do not criminalise cryptocurrencies, they have yet to define their usage as monies or commodities, thus making varied classifications all over the world.

Nepal Rastra Bank has already made it clear in its notice dated August 13, 2017, that all transactions related to or regarding Bitcoins are illegal. But it allied Bitcoins to “Foreign Exchanges”, though cryptocurrencies have no foreign central authority to regulate them. This is where the confusion is. Bitcoin is a decentralised digital currency that is traded from one individual to the other, not through banks. It has no issuing or regulating country, and these bitcoins are converted into US dollars simply because dollars are used as an international exchange rate.

January 3, 2023
Cryptocurrency prices are rising, with Ripple rising by 18%.

Since Tuesday morning, the cryptocurrency market, which had been dropping for more than two weeks, has started rising. As a result, the values of the market’s leading cryptocurrencies have surged dramatically in the last 24 hours.

According to Crypto.com, the price of Bitcoin has gained 8.24 percent in the previous 24 hours to USD 37,304, while Ethereum is trading at $2,707. In the last 24 hours, Ethereum alone has increased by 16.60 percent.

Cardano rose 12.74 percent to 1.76, Binance Coin rose 15.02 percent to 358, Ripple rose 19.36 percent to 1.07, and Polkadot rose 18.44 percent to 23.11.

Cryptocurrency is banned in Nepal, despite being recognized as a digital money in Europe, the United States, China, and India. However, in the lack of a cryptocurrency regulation in Nepal, the Nepal Rastra Bank has published a statement stating that only Bitcoin transactions are prohibited.

January 3, 2023
Is Pi Coin / Pi Network the next huge thing in Crypto World?

Please note that Cryptocurrency transaction and mining is illegal in Nepal as per the notice issued by Nepal Rastra bank. This article is only for information purposes.

Money has evolved and changed shape over time. Today, digital currencies are best suited to the needs of the digital world. Digital currencies are focused on decentralising the currency in order to facilitate private transactions. Cryptocurrency is a decentralised digital money that can be used to transfer assets from person to person. They are not governed by banks or other central agencies. All of these coins are digital and have no physical existence. Cryptocurrencies can be purchased on exchanges and kept in wallets, exchange wallets, or physical storage discs. They are also spread throughout the network, so that even if one component fails, no data is lost. Pi coin is also the first and only cryptocurrency that can be mined on your phone.

Pi Network

The “Pi Network” is an intelligent network that enables users to earn Pi cryptocurrency from any mobile device. Three Stanford students launched a beta version of the app in March 2019. And two of them have doctorates. They want to build a digital currency that is secure, unchangeable, non-counterfeitable, and interoperable. They intend to accomplish this through the use of distributed ledger technology and the stellar consensus mechanism.

What distinguishes it from other cryptocurrencies?

One of the primary differences between Pi Network and other blockchains is that rewards are distributed on a daily basis. They are not paid out per block and are distributed around the network, so as long as you interact with the network, you will receive a reward at the end of the day. The white paper goes with the availability of free transactions in relation to network congestion. When the network becomes overcrowded, miners will be able to sort through transactions using a fee system, with greater fees being handled with first and everyone else having to wait based on the amount of fee they want to pay.

There is currently no fixed supply, and the overall amount is uncertain. The overall supply will be determined after the initiative is officially launched. The tokens that individuals are earning right now serve as a faucet and are a visual representation of tokens that will be created in the Genesis block when the main net goes live.

The Pi network is fast growing, with over 800,000 active users as of right now. For all we know, it could be the next big thing. Because it is free to join, there is nothing to lose by downloading the app. However, it is strongly advised that you conduct preliminary research before proceeding. For additional information, follow the Pi network on Instagram, Facebook, and Twitter.

January 3, 2023
The Cryptocurrency debate: Is legitimacy necessary?

Cryptocurrency, or “decentralized electronic currency,” is gaining popularity around the world these days. Last January, Nepal’s neighbor India published a “National Strategy on Blockchain” to regulate the technology. However, such currencies and transactions are absolutely prohibited in Nepal.

On the Internet recently, there has been a lot of discussion and information concerning cryptocurrencies. However, in Nepal, a correct understanding of this has yet to be created. Many people have heard of Bitcoin and have a basic knowledge of it. People, on the other hand, seemed to comprehend that ‘cryptocurrency’ means ‘bitcoin,’ and that ‘bitcoin,’ in turn, means ‘cryptocurrency.’ Not only the general people, but also the Nepal Rastra Bank, appears to believe this.

On the 13th of August 2017, the NRB issued a statement claiming that ‘Bitcoin transactions are unlawful in Nepal.’ This, however, has no bearing on other cryptocurrency coins.

Cryptocurrency and Bitcoin

According to CoinMarketCap, there are already over 10,000 cryptocurrencies in circulation around the world. Bitcoin, the first cryptocurrency, is the most valued and widely used. A Japanese programmer invented Bitcoin in 2009.

Thousands of cryptocurrencies, such as Bitcoin, are now available around the world. Ethereum, Polkadot, Ripple, and Dogecoin are examples of cryptocurrencies. In Nepal, however, the belief that Bitcoin is the only cryptocurrency is widespread.

Is it due to a lack of awareness or carelessness?

All economic transactions in Nepal are regulated by the Nepal Rastra Bank. The bank’s policy capacity is called into doubt by its statement on Bitcoin, which is also the guardian of banks, financial institutions, and digital service providers in the country.

Foreign exchange transactions can only be carried out with a license from the Rastra Bank, according to Nepalese legislation. Money must be remitted abroad to trade and invest in bitcoin. The NRB’s declaration on Bitcoin, which came after it was proclaimed that moving money overseas without permission is prohibited, appears to have caused even greater confusion among the people. Is it allowed to invest in other coins? This is an intriguing question that occurs.

Investing possibilities

The worldwide media has recently reported on persons who have made millions of dollars by investing in cryptocurrency.

Two weeks ago, it was reported that a high-ranking Gold Sachs employee had resigned after earning tens of millions of dollars using DogeCoin. Similarly, word circulated quickly that a 25-year-old American had become a millionaire at such a young age by investing in Bitcoin. While its investment and business are growing in Europe and the United States, as well as in India, it is outlawed in Nepal.

At first look, Bitcoin does not appear to be a viable investment option in Nepal, where it is prohibited to transmit money overseas without the approval of the central bank. However, based on posts and statuses on social media and in groups, it appears that a significant quantity of money is being traded surreptitiously from Nepal.

Nepalis are investing in several ways, such as through the creation of websites, peer-to-peer transactions, or through friends and relatives residing abroad. People that invest in cryptocurrencies join groups on social media sites such as Facebook, WhatsApp, and Viber to trade it. Transactions, on the other hand, are not readily apparent because it is against the law.

Limitation of the declaration of illegality to paper

Many business operations that have been declared illegal by Nepalese law have not been stopped by the government. It doesn’t matter if it’s betting, Hundi, or e-commerce.

The indifference of stakeholders, despite the fact that the government’s policies and judgments are limited to paper, and the knowledge that comes out in pieces about these transactions that are done invisibly, is astounding.

Khalti, a digital service provider, alerted the Rastra Bank in April, requesting an investigation into the transaction statements of roughly a thousand users on suspicion of betting. However, the NRB has yet to take any action or make any statements in this regard.

Similarly, despite the fact that the Hundi business of transporting money from Nepal to foreign countries is unlawful, it appears that no action has been taken. Similarly, the Nepal Rastra Bank and the government appear to be on the same page when it comes to Bitcoin.

Is it important to have legitimacy?

This can be viewed from two angles. The world’s most powerful economies have endorsed cryptocurrencies, proclaiming it to be the currency of the future. Cryptocurrencies are being used to pay for restaurant bills, Netflix subscriptions, Tesla cars, and even sports tickets in some regions.

Its instantaneous legitimacy is unthinkable in Nepal, where moving money overseas is a crime. However, if Nepalese policymakers can interpret cryptocurrencies and Bitcoin differently in the near future, it may obtain legitimacy.

Trading in cryptocurrencies, which resembles stock market transactions, is less expensive than trading in fiat money (rupee, dollar, euro, pound, etc.) since cryptocurrency transfers do not require the use of a third party (bank). Without the need of a third party, money can be sent from anywhere in Nepal to anywhere in the world.

Cryptocurrency transactions are made feasible via blockchain technology. As a result, there is no need for a third party to complete the transaction. As a result, transactions are simple, secure, and rapid.

How do the transactions take place?

By opening a TMS account, you can purchase and sell cryptocurrency in the same manner you can buy and sell stocks (on the stock market). Buying and selling takes place on a variety of platforms. It can be traded on sites such as Binance, Crypto.com, Robinhood, Etoro, and Coinbase, for example.

To store this, you’ll need a crypto wallet. The use of blockchain technology is thought to be safe and dependable. To put it another way, transactions on the platforms can be compared to money kept in eSewa, and using a crypto wallet to make bank account deposits.

January 3, 2023