While the acceptance of crypto currency like Bitcoin as an alternative payment method has been a contentious topic, many techies, who have invested in them, are reaping attractive rewards.
“I first invested in bitcoin in 2013 when one coin was worth ten times more than what it is at the moment. And got good returns for my investment,” said Ajit Sharma, a software techie, who invested in crypto currency.
On Tuesday, a paperless cryptocurrency invented by Satoshi Nakamoto, saw the value crossing the Rs 3-lakh mark on the Indian exchanges. Unlike traditional currencies, crypto coins are not produced by a central authority like a bank.
According to latest report, the price quoted on Zebpay, the oldest and largest bitcoin Indian exchange, is Rs 3,16,000 per unit while globally it is trading at $4,600. On Unocoin, another big Indian exchange, it is quoting Rs 3,04,000 per unit.
Besides, Bitcoin, top crypto currencies include Ethereum, Litecion and Ripple. The crypto currency market in the past couple of months has risen 70 per cent to $164 billion.
“The growing number of users reflects that Bitcoin is gaining popularity and trust,” said Hesham Rehman Co-Founder & CEO, Bitxoxo, which claims a milestone of 100,000 users on its platform.
There has been a surge both in the numbers and prices of graphic card sales with cryptocurrency mining picking up in India. Many businessmen including online vendors are investing in crypto currency mining rig, which costs Rs 3 lakh, to mine crypto currencies.
Letsmine, a Chandigarh-based online vendor, has built and sold 90 mining rigs through eBay at a base price of Rs 3,00,00. It has been doing this business for past one year and claims that investment can be recovered in span of 8-10 months.
The reasons for the booming market is the implementation of new software like, Segwit which has improved trading efficiency.
According to Sandeep Goenka, Founder of Zebpay, prices are rising due to increase in interest. And there are new features, easing the process, coming through adoption of new software upgrade.
Interest in crypto currencies has been rising despite all talk of the government planning to regulate the market. The finance ministry had recommended to avoid the use of Bitcoin.
Blockchain speaker and influencer, Kumar Gaurav backs government on safety grounds as far as new currency is concerned. Crypto currency is in nascent stage and it does not seem to solve any payment system problems. So, govt so take its time before coming out with regulation.
In August, BitBay, a Poland-based based company launched a dedicated platform for trading in cryptocurrency in India. It has over two lakh users on its platform. It facilitates trading in various cryptocurrencies, such as Bitcoin, Litecoin, Ether, Lisk, Monero, Dash, and Gamecredits. The major objective of the company would be to remove all misconceptions about crypto currency.
The rise of use can also pave a way for Bitcoin in retail sector in coming years, though globally Paypal and other digital wallets accept the currency at present.
Among the renowned names accepting bitcoins online are Dell, Dish Network and Expedia. Japan has officially recognised bitcoin as a payment method in April. After China and Japan, Australia is attempting to regulate bitcoin exchanges.