The increasing popularity and demand for digital currencies like Bitcoin, Litecoin, etc, it looks like India is going towards having its own digital currency, being dubbed as Laxmicoin. It was originally launched in 2012 but since then Laxmicoin is stuck in the complex situations along with several fiat currencies across the world. A fiat currency is nothing but a currency that does not have any physical value but it is established by the law of government. For example, currencies across the world like INR and Dollar are fiat currencies because their values are decided by the government.
Gold Standard, non- fiat currency, has been phased out slowly as it did not have physical stockpiles for maintaining their value. But there is a new breed of digital currencies like Bitcoin, Litecoin, Bitcoin Cash, which are neither fiat nor non-fiat as they don’t have physical value and also they are not government- controlled. This has created uncertainties and confusion among the masses regarding their role in the present financial system.
The RBI Executive Director, Sudarshan Sen recently told, “the government is uncomfortable with non- fiat currencies.” For this reason, the future of cryptocurrencies, particularly Laxmicoin- India’s non- fiat digital currency, has a very uncertain future.
Founded by Silicon Valley- based Mitts Daki and Raj Dangi, Laxmicoin is a digital cryptocurrency. According to the founders, Laxmicoin will have a coin supply of 30 million and it will use blockchain technology that will be similar to Bitcoin. But the RBI actions against Indian bitcoin exchanges in 2014 have forced them to postpone the launch. Now, many bitcoin exchanges have resumed their service but the founders of Laxmicoin have decided to launch at a later date, after getting approval from the RBI.
There is a need for a fiat digital currency because of application of the blockchain technology for streamlining financial services. A committee comprising of the RBI, Securities and Exchange Board of India (SEBI), Central Board of Excise and Customs (CBEC), Finance Intelligence Unit and the IT department, have identified the ways of utilizing the blockchain technology in the country’s financial institutions and banks. The blockchain requires a digital currency to function but the government do not trust the non- fiat currencies like Bitcoin. Hence, there might be a chance of a digital alternative to the INR, to launch in near future.
Whenever the government decide to accept the cryptocurrency, Laxmicoin will definitely be placed under the influence of the RBI. With the introduction of the new digital currency, the government will also have to make several amendments in the Acts like the Currency Act. But if the new digital currency will be under the control of the government, it is uncertain if it will still be called a cryptocurrency and the cryptocurrency is ultimately regulation- free.
When Laxmicoin becomes the legal tender, it will drastically evolve the way financial transactions are done in India. This will soon be beneficial in numerous ways like simplifying the PoS transactions apart from supplementing financial and online transactions. It will also eliminate surcharges on credit and debit card payments, thereby benefitting both SMEs and customers. Another part of the population that will be benefitting from this will be those who do not have access to credit or debit cards.
The founders of Laxmicoin are positive about the outcome of the government’s and RBI’s discussions. They have already decided the date as 01-03-2018 for an Initial Coin Offering (ICO), which is on the lines of IPO for a company in the market. But as the decision is still not out, the fate of Laxmicoin will be revealed only in the coming months.
The Laxmicoin Meetup Schedule date announced :
The conference on Laxmicoin and other Cryptocurrency is scheduled to be held in Jaipur and according to an official tweet from the founder of laxmicoin, The Laxmicoin conference date is 7th of February 2017 and is going to be held in Maharana Pratap Auditorium, Jaipur . The Office of the Laxmicoin has even sent us passes for the event along with two complimentary laxmicoin conference passes to my crypto blog fans. The Complimentary Laxmicoin Conference Passes will be alloted via a contest soon to be held by us in the month of January 2018 .