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Jio Coin

January 14, 2018

Mukesh Ambani-led Reliance Jio planning cryptocurrency 'JioCoin'

About Jio Coin Cryptocurrency

Ambani’s son believes in the future and seeing as cryptocurrency is the future, this initiative makes sense. A group of 55 individuals with experience about Blockchain has been assembled and are currently working towards the functioning of this new cryptocurrency. In future many new Jio products are likely to be launched and to purchase those products, Jio coins can be used. They may come up with offers to promote this new coin service. Now South Korea and China have already banned coin trading in their country, so Reliance Jio is most likely to take permission from the government for this new launch.

Additional info

Akash Ambani will be the leader of this new project. This is the perfect time for a cryptocurrency launch as it was seen ripple to reach the second spot in cryptocurrency ranking list. Ripple is a low-cost cryptocurrency so a new launch with similar price rates can also be expected to gain profit for the company. The reason behind’s ripple’s success is the investment of Asian countries with India having the most number of investors. Now considering all this and also the trust Indian people have on Reliance Jio, Jio’s cryptocurrency can be expected to be a success. Many people from India are unaware of Internet money, so this might also be a chance for them to understand how cryptocurrency works and how it can be useful to them.

Jio Coin Launch Date 

Currently, there is no official date, but Livemint news portal has indeed confirmed about this new cryptocurrency. Any other update about this will probably be available on Jio’s official website jio.com. Additionally, regarding the platform for Jio coin, Tangle Technology or Blockchain is the given choices. As per some news though, Blockchain will be Jio Coin’s official choice for the platform.

Jio Coin Price

It is reported that each coin would cost somewhat less than Rs 64, which is equivalent to 1 USD. Jio is also expected to see a rise in the share market after the cryptocurrency’s launch.

How to Buy Jio Coin?

As the Jio Coin is not yet official as a cryptocurrency, so there is no way for anyone to buy Jio Coin as of now. However, we can expect Jio’s official website to receive an update soon regarding this advancement. Most probably the customers would be able to purchase coin’s from jio.com.


Weeks after Finance Minister Arun Jaitley informed the Parliament that cryptocurrency was not a legal tender in India, it has been reported that Mukesh Ambani-led Reliance Jio is planning to launch its own virtual currency- JioCoin.

According to a report in Mint, Reliance plans to hire 50 young professionals to work on blockchain technology. Blockchain technology is a decentralised digital ledger in which transactions made in cryptocurrencies are recorded chronologically and publicly.

"There are multiple applications of blockchain (for the company). The team would work on various blockchain products," the report quoted a source as saying.

While the JioCoin plan is still in initial stage, the official did tell the business daily as to how Reliance Jio could use the new technology. He said: "It can be used in supply chain management logistics. Loyalty points could altogether be based on JioCoin." The company's new venture will be headed by Mukesh Ambani's son Akash Ambani.

The report comes barely a fortnight after the Finance Ministry and the RBI clearly stated that the creation, trading or usage of virtual currencies as a medium for payment were not authorised by the central bank or monetary authority.

Finance Ministry Arun Jaitley underlined that the virtual currencies including Bitcoin don't have any intrinsic value and are not backed by any kind of assets.

He said that cryptocurrencies were not legal tender and those indulging in such transactions were doing it at their own risk. Recently, the Income Tax conducted a survey on nine major cryptocurrency exchanges to investigate instances of tax evasion. The Tax authority has reportedly found that there are 6 lakh active cryptocurrency traders in the country.

Last month, the Reserve Bank issued its third warning, reminding the investors of its earlier concerns. In its earlier warnings, the RBI had said that it has not given any licence or authorisation to any entities to operate such schemes or deal with bitcoin or any virtual currency. The government has already constituted a panel under Economic Affairs secretary to deliberate over all issues related to cryptocurrencies and propose specific actions that need to be taken.

Presently, there are over 1300 virtual currencies in operation worldwide. India has identified 11 exchanges dealing with virtual currencies.

Here's why the RBI and government think that cryptocurrency could pose risks to investors:

  • The RBI says that virtual currency being in digital form are stored in digital-electronic media that are called electronic wallets. Therefore, they are prone to losses arising out of hacking, loss of password, compromise of access credentials, malware attack etc. Since they are not created by or traded through any authorised central registry or agency, the loss of the e-wallet could result in the permanent loss of the VCs held in them.
  • Payments by virtual currency take place on a peer-to-peer basis without an authorised central agency which regulates such payments. As such, there is no established framework for recourse to customer problems/disputes/charge backs.
  • There is no underlying or backing of any asset for virtual currency. As such, their value seems to be a matter of speculation. Huge volatility in the value of such currency -in this case bitcoin-has been noticed in the recent past. Thus, the users are exposed to potential losses on account of such volatility in value.
  • So far, cryptocurrencies are being traded on exchange platforms set up in various jurisdictions whose legal status is also unclear. Hence, the traders of virtual currency on such platforms are exposed to legal as well as financial risks.
  • It has been reported that usage of digital currencies are largely for illicit and illegal activities. The absence of information of counter-parties in such peer-to-peer anonymous/ pseudonymous systems could subject the users to unintentional breaches of anti-money laundering and combating the financing of terrorism laws.

 

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