- Wealth PMS (50L+)
In this week’s edition
Nov 25th, 2021 was just another day for cryptos. They were down 15% to 20% across the board. Regular move & nothing much to talk about it. Except it’s not. India has proposed a cryptocurrency bill. The Cryptocurrency and Regulation of Official Digital Currency bill, 2021. It will be discussed in the budget session in Feb 2022.
So will they Ban or Regulate? It is unclear for now. There is a lot of ambiguity.
The government wants to prohibit all private cryptocurrencies in India while allowing for certain exceptions. It also wants to create an official digital currency to be issued by RBI.
What is public & private cryptocurrency?
Public crypto has two definitions.
Legally, any crypto that is issued by a Government or a Sovereign body is classified as public crypto.
Technically, public crypto operates on an open blockchain. The transactions are traceable and are transparent for every user. In this structure, you can get the wallet addresses of both the sender & receiver. Popular public cryptocurrencies are Bitcoin, Ehereum, Litecoin, Ripple, etc.
On the other hand, private crypto is designed to hide transaction details. They may still have open ledgers, but the transactions are not traceable. The wallet addresses are masked or hidden. Monero, Particl, Dash, Zcash, etc are examples of private cryptocurrencies.
The way forward
In most probability, it will regulate and not ban. The stakes are too high.
Over 100 Million people have apparently invested in Cryptos. That is more people than that have put money in the stock market. By accounts shared admittedly by the crypto industry, Indians have invested almost $10 Billion in Cryptos.
And not to forget, this is just on the agenda of the parliament. It still needs to be discussed & passed. It is anybody’s guess how many versions it will undergo before it sees the light of day.
Mukesh Ambani is still the richest Indian contrary to breathless media reports about Gautam Adani having surpassed him.
Year-to-date the value of Adani Group companies might have surged more than Reliance, but Mukesh Ambani continues to hold the tag of richest Indian.
A few days back a lot of media houses did come out with reports which suggested that Gautam Adani surpassed Mukesh Ambani to become India’s richest person. However, not anytime this week this actually took place.
To put it in the right context, the value of Ambani’s holdings in his listed company is still higher than the value of Adani’s holdings in his listed companies. The difference based on Friday’s closing is still more than Rs 1.5 lakh crore.
Most probably, the error might have occurred while counting the value of Adani Total Gas Ltd. This is because that is the only company to have a promoter other than Adani. The promoter stake in Adani Total Gas is 74.8%, but only half of it is owned by Adani, while the remaining by French energy group Total. In 2018, Total acquired a 37.4% stake in Adani Gas for around Rs 6,000 crore, while currently its stake is valued at close to Rs 67,000 crore.
To Read More On Adani Group Companies: Adani Group Companies Explained
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Links we Like✨
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That’s all folks. Have a great weekend!
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