Indian Crypto Exchanges to Create Databases of Users
February 16, 2018
Cryptocurrency exchanges in India may soon create centralized databases of cryptocurrency users to keep records of crypto transactions in real time. These records will include the information on the total amount of cryptocurrencies in possession of a trader, the aggregate value of each cryptocurrency, as well as the information on how the trader bought and sold his cryptocurrency.
Tracking of the cryptocurrency movement will occur through the identifier Aadhaar ID or through the Permanent Account Number (PAN).
According to the head of the Blockchain and Cryptocurrency Committee (BACC) this proposal will soon be submitted to the government committee in charge of cryptocurrency.
Aadhaar is a unique twelve-digit identity number given to country's residents by the Indian Agency for Identification of Citizens (UIDAI). To conduct the process of identification, the biometric data is collected, such as fingerprints and photos of the iris. At the moment, UIDAI database contains records of almost 1.2 billion of Indian people.
PAN is a unique ten-digit code given to Indian residents, families and companies, as well as to some foreigners, particularly investors. Typically, this number is used for opening bank accounts in the country and for receiving the taxable salary. It is issued by the Indian Income Tax Department and is used to prevent tax evasion by making sure that the income tax is paid in full.
It is worthy to recall that earlier this month Finance Minister of India Arun Jaitley