Bitcoin trading above Rs 25 lakh

Major cryptocurrencies traded in the green early on May 31 as the global crypto market cap increased 5.81 percent to $1.31 trillion over the last day. On the other hand, the total crypto market volume over the last 24 hours increased 80.30 percent to $92.89 billion. The total volume in DeFi stood at $$8.25 billion, 8.88 percent of the total crypto market 24-hour volume. The volume of all stable coins was $81.67 billion, which is 87.92 percent of the total crypto market 24-hour volume. Bitcoin traded above Rs 25 lakh. The market dominance of the world's largest cryptocurrency increased 21.14 per cent to 45.96 percent over the last day, according to data from CoinMarketCap. Notably, Bitcoin rose 7.93 percent to $31,780.51 at 2200 GMT on May 30, up $2,334.8 from its previous close. The world's biggest and best-known cryptocurrency is up 25.1 percent from the year's low of $25,401.05 on May 12. Read full here

Consultation paper on crypto almost ready, says Economic Affairs Secretary Ajay Seth

The government is almost ready with its consultation paper on crypto, Economic Affairs Secretary Ajay Seth has said. "Our consultation paper is fairly ready. We have gone into a deep dive into this," Seth told reporters on May 30 on the sidelines of an event. The government has refused to make public its stance on crypto so far, with confusion even reigning over their classification: whether they are financial assets or fall in some other category, such as commodities. However, while it has been engaging with stakeholders to cement its stance, the Centre has imposed taxes on crypto. The 2022 Budget proposed a 1 percent Tax Deducted at Source on all crypto transactions, while a 30 percent tax was imposed on profits made from crypto sales. The taxes, which came into effect on April 1, does not make crypto legal, the government has asserted, with Finance Minister Nirmala Sitharaman saying it was the government's "sovereign right" to tax crypto transactions. Read details here

California moves to embrace cryptocurrency and regulate it

California, which has the world's fifth largest economy if it were a country, became the first U.S. state on Wednesday to formally examine how to broadly adapt to cryptocurrency and related innovations, following a path laid out by President Joe Biden in March. Governor Gavin Newsom signed an executive order directing state agencies to work with the federal government to develop digital currency regulations. The report also calls for the incorporation of blockchain computer coding into broader government operations in the state where much of the world's technological innovation is born. According to Dee Dee Myers, a senior advisor to Newsom and director of the Governor's Office of Business and Economic Development, blockchain and cryptocurrency technology are potentially explosive creators of new businesses, new jobs and new opportunities. (AP)

Russia mulls allowing cryptocurrency for international payments - Ifax

Russia is considering allowing cryptocurrency to be used for international payments, Interfax news agency quoted a government official as saying on Friday. "The idea of using digital currencies in transactions for international settlements is being actively discussed," Ivan Chebeskov, head of the finance ministry's financial policy department, was quoted as saying. Russian officials are wrestling with how to regulate the country's crypto market and use of digital currencies, with the finance ministry opposed to the central bank's calls for a blanket ban. Discussions have been ongoing for months and though the government expects cryptocurrencies to be legalised as a means of payment sooner or later, no consensus has yet been reached. The finance ministry is discussing adding the latest proposal on international payments to an updated version of a draft law, the Vedomosti newspaper reported on Friday, citing government officials. Allowing crypto as a means of settlement for international trade would help counter the impact of Western sanctions, which has seen Russia's access to traditional cross-border payment mechanisms "limited," Chebeskov said. (Reuters)