Government makes first move to regulate Bitcoin, asks companies to disclose all cryptocurrency dealings

Indian government has made its first move to regulate bitcoin and other cryptocurrency by making it mandatory for all companies in the country to disclose their dealings in virtual currency in their balance sheets.

Indian government has made its first move to regulate bitcoin and other cryptocurrency by making it mandatory for all companies in the country to disclose their dealings in virtual currency in their balance sheets. The directive was passed by the ministry of corporate affairs (MCA) on Thursday. The step is likely to change cryptocurrency dealings in India and is expected to bring more transparency between investors and government. As per the directives, the companies will have to disclose profit or loss on transactions involving cryptocurrency or virtual currency and the amount of holding. They will also have to share details of deposits or advances from any person for the purpose of trading or investing in cryptocurrency or virtual currency. The amendments have been made to Schedule III of the Companies Act, 2013 and will be applicable from the upcoming financial year, MCA said in a notification. The decision comes amid government proposals to regulate cryptocurrency in India or impose ban on certain transactions.