ICAI to Carry Study on Virtual Currencies

Considering the growing popularity of cryptocurrency or virtual currencies like Bitcoin, the Government of India has requested the Institute of Charted Accountants of India (ICAI) to carry out a detailed study on the same. It is a great idea to popularise the concept in India.

A higher official of ICAI revealed that the Ministry of Corporate Affairs had sought the opinion of ICAI on disclosures and accounting standards of cryptocurrency or virtual currencies in financial statements of companies. The topic is a new phenomenon and it is gaining momentum globally. ICAI will submit its report on virtual currencies in March 2018, he explained.

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What does Virtual Currency Mean?

Virtual Currency is also known as Virtual Money, which is often regarded as digital money. Usually, virtual currencies are issued and controlled by its developers and accepted among the members of a specific virtual community.

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About Bitcoin: -

• Bitcoin was released as open-source software in the year 2009.
• Bitcoin is a popular virtual or cryptocurrency, which is regarded as a worldwide payment system.
• Bitcoin is the first decentralised digital currency since the system functions without a single administrator or a central bank.
• Through Bitcoin, transactions take place between users directly and there is no necessity for an intermediary.
• All the transactions are recorded in a public distributed ledger, i.e., Blockchain.
• Bitcoins act as an exchange for other currencies, services and products.

Recently, ICAI released the schedule for IPCC May 2018 Exam and New Scheme for May 2018 examinations.