India is Paying $900+ for Bitcoin Amid Cash Crisis

[XCoinCall]

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

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[Zadicar]

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

I do hear  some  previous  news   regarding  on this  on which  the price  is  still $800 per bitcoin which is   already  high compare on the  current price and   the  reason  for this  is the  supply of  bitcoin  on  india  which is  scarce  thats why  they  put  interest  into it. Its  really insane to  think  of this  which  could somehow to make a  business .

[European Central Bank]

that's what happens when there's no liquidity. i'll guess it's also a pain in the ass to wire money out of india. nothing much to get worked up about. it's a market that's all on its own.

[Dudeperfect]

Yes, I am from Indian and I bought my part of bitcoin at the rate of $776 per bitcoin. I usually accept bitcoin in my business and sometimes I purchase bitcoins from localbitcoins and I prefer digital fiat wallet like paytm (backed by Alipay) or freecharge and not everyone accepts it so I have to deal with those who have that option in payments. Since I don’t keep much cash with me and prefer electronic transfers, I am not affected by the cash crisis.

[BitHodler]

that's what happens when there's no liquidity. i'll guess it's also a pain in the ass to wire money out of india. nothing much to get worked up about. it's a market that's all on its own.

Liquidity is the biggest point of concern there as the market is nothing compared to what we have in the western world.

I am quite sure that the exchange operators will supply these exchanges with a fresh load of coins and take the price down to a significant level.

But then again, there is barely any supply available, but there is also barely any serious buy support. Imagine what a 500BTC dump will do to the price there.

[asriloni]

Purse.io CEO: Bitcoin Adopters ‘Won’t Go Back’

Anyone likes with this statement, the kind word. Both are getting a disaster about his financial. I just agree with the CEO purse.io report. He will be searching for the fast backup.
He was lost a lot, their civilians.

[unamis76]

We've seen a few threads around this subject, looks like Bitcoin is gaining some traction there or speculators are doing this due to the "extinction" of big bank notes...

[ebliever]

When this happened with China a few months back it pulled the price of bitcoin up in the rest of the global market because of the obvious arbitrage opportunities. Looks like the same thing will happen with India. I would expect the effect to be more modest because India is presumably a smaller player in the bitcoin ecosystem, but if the underlying cause is more dramatic and sustained that could be wrong.

I recall hearing once that India is disproportionately a buyer/hoarder of gold, all things considered. I wonder how this could play into their cash crisis and the spillover to bitcoin?

[mrkevio]

The price of Gold also rose very fast and a lot. This happens because people are starting to give up hopes in banks and the cash given by the governments because it's the worst system we could have, I guess. Anything you do in the bank, you're going to end up in debt. It's good that people are finding Bitcoin as a safe currency, but at the same time they need one more currency to rely on. Out of all, Gold is probably the best one out there because it hasn't only been used in the World Wars as a currency but it's also rare and it's real phisically: you can touch it. Maybe the thing that happened in India will change things out here too.

[~Bitcoin~]

It is not a surprise to see such high price than current market price because there is not many bitcoin in India. Only limited sellers are trying to cover huge demand after government banning 500 and 1000 INR notes as well as bitcoin price have itself grew $50+ in last few days which also helps to pump price more in Indian local exchange platforms.

[eternalgloom]

Damn, and I thought I overpaid when using services like Virwox or Bitonic.nl
Would be interesting to see what happens if other countries apply similar regulations.

[xdrpx]

That's more than 10% difference in the trading prices between US and Indian exchanges. The cash crisis has indeed created more demand for Bitcoins than how much the sellers can sell, thus creating such a large percentage of hike in prices between the exchanges. Also, I'm glad to see that more and more people in India are getting involved into Bitcoins and realizing that the need be to evolve into a cashless society. The same happened with the price of gold when the black money hoarders went to purchase gold with their black money before the Government mandating PAN cards to buy gold.

[iram3130]

My dealer made deals for more than $875+/BTC from last week.
People are frustrated with the demonetization and on that this type of dealers...

[Kprawn]

What would be the motivation to buy at that high price difference? Some people are definitely extorting people with these rates and using this

opportunity to milk the high demand. Most of that cash must be illegal, or money that was hoarded for tax purposes. They now rushing to get

rid of it.  .... This will not last long, but the exposure to Bitcoin is good.

[DimensionZ]

Can foreigners sell coins on Indian exchanges? Do people need to submit any ID documents upon withdrawal or can just put their bank account numbers in there and request withdrawal? Man I would love to be able to sell my coins for $800+ a pop lol.

If anyone from overseas has been successful trading on Indian exchanges please share your experience 

[Juggy777]

I really don't understand it what's the point of buying it at a high price. As soon things starts getting better price will crash. Secondly don't you need documents to buy it that will be linked with income tax, so what's sense of buying it or they are buying without the documents? This is a blind move and it shall not be good. People stay away at such prices

[franky1]

ARBITRAGE

convert rupee to USD via conventional methods.
but bitcoin with USD, sell it to rupee

profit

convert rupee to USD via conventional methods.
but bitcoin with USD, sell it to rupee

profit

rinse and repeat

[requester]

What's this all about I have many friends who deals 24 hours with bitcoin but none of them had heard about this. Well anyone explain me who is paying and why they are paying $900. Is there any logical game behind this .

[Ryan Dugan]

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

How exactly can they restrict bitcoins price to way out of the minimum ? If you in India you buy bitcoin like anyone else. Find a none local trusted site and biy there. No problem. What is the issue here ? It is sensationalism that is all.

[Ayers]

I really don't understand it what's the point of buying it at a high price. As soon things starts getting better price will crash. Secondly don't you need documents to buy it that will be linked with income tax, so what's sense of buying it or they are buying without the documents? This is a blind move and it shall not be good. People stay away at such prices

its can be that for them it's more hard to acquire bitcoin outside of their country so they are forced to pay more to have one, but this is good because it will force a market movement toward their value, they will help the market growth

[neochiny]

I really don't understand it what's the point of buying it at a high price. As soon things starts getting better price will crash. Secondly don't you need documents to buy it that will be linked with income tax, so what's sense of buying it or they are buying without the documents? This is a blind move and it shall not be good. People stay away at such prices

its can be that for them it's more hard to acquire bitcoin outside of their country so they are forced to pay more to have one, but this is good because it will force a market movement toward their value, they will help the market growth

And, it could also be that most would still prefer to buy from their local exchanges despite the high premium. I saw this on another thread:

Let say a coin a listed in poloniex and bittrex, it will have some difference in price, why is that? demand and supply is the answer. And I am an Indian staying in Kerala. I have to say that Indian exchanges and sites like unocoin and zebpay charges more as than other international sites.

I would prefer buying from unocoin or zebpay as they are set up in India and I can get a refund if things go wrong for some reasons. I may able to do so in any other sites which are based abroad, but I trust these Indian sites more. I believe Zebpay and Unocoin are registered in India and they do fall under the Indian jurisdiction which makes any Indian buyer or seller of bitcoins confident.

Another reason that could add to the very high demand could be that some are dumping their stash of 500/1000 rupees(black money) and change it to bitcoins. Same as some are buying gold. This way they'd avoid having to go the banks and 'legally' change their bills. (and possibly get caught/taxed especially if funds are undeclared)

[Milkduds]

India seems to be the new flavor of the moment when it comes to bitcoin related articles.
As a outsider the optics seem to appear like India is quickly pushing for more transparent banking and wanting to push a few issues all at the same time,creating havoc and the look like potential restrictions coming down the pipe.

The problem I have with this story is it seems to be a hype article pointing to the price and a new flavor that people are watching for bitcoin manipulation. It
used to be China but looks like India is picking up steam as they look to make some big alterations to the country. Honestly think India is a amazing Country
to have so many things related bubbling at the same time.

Going back to when China had similar moves like mentioned here in the responses,I recall people getting caught off guard and having funds locked in Chinese exchanges. So before you go wading into the Indian markets make sure you are able to handle a potential issue like that and not get caught with all your cookies in one jar.

[sportis]

        This not strange. In times of economic crisis and also when the inflation of fiat currency is intense people are directed elsewhere in order to protect their savings. (eg gold). Nowadays is much more safe, quick and anonymous to buy not only bitcoins but and altcoins such as litecoins and ethereum instead of bank notes.

[neochiny]

India seems to be the new flavor of the moment when it comes to bitcoin related articles.
As a outsider the optics seem to appear like India is quickly pushing for more transparent banking and wanting to push a few issues all at the same time,creating havoc and the look like potential restrictions coming down the pipe.

The problem I have with this story is it seems to be a hype article pointing to the price and a new flavor that people are watching for bitcoin manipulation. It
used to be China but looks like India is picking up steam as they look to make some big alterations to the country. Honestly think India is a amazing Country
to have so many things related bubbling at the same time.

Going back to when China had similar moves like mentioned here in the responses,I recall people getting caught off guard and having funds locked in Chinese exchanges. So before you go wading into the Indian markets make sure you are able to handle a potential issue like that and not get caught with all your cookies in one jar.

Haha. I don't know,   I think a huge margin of the market  is held by the two local exchanges.

Unocoin and Zebpay which are registered and are somehow licensed by the government since there is a government-levied tax on every transaction. (Do you know, one can't make an account without a PAN Card[Permanent Account Number]   )

This, in turn, makes the users trust the two since users are assured they don't get scammed plus the possibility of refunds in certain cases.
These would really cut into the transactions/trades with international exchanges since most would opt for premium rates than risk getting scammed.
So, personally, I don't see that great of a chance for arbitrage/market speculation. But, well, who knows for sure.
Coz I certainly don't.  

[countryfree]

$900? How many rupees does that make? Is that when paying with those banknotes the government has said they're now worthless, unless changed at an offical bank with tough AML requirements?

I guess all cryptocurrencies and all foreign currencies are much wanted anywhere in India, with many buyers willing to pay much more than what they're worth, if that helps them getting rid of old worthless banknotes.

[The Sceptical Chymist]

What's this all about I have many friends who deals 24 hours with bitcoin but none of them had heard about this. Well anyone explain me who is paying and why they are paying $900. Is there any logical game behind this .

Yeah, this all seems kinda strange to me too.  I don't know why anyone would need or want to pay more than market rate for bitcoin except for purposes of staying extremely anonymous or something.  Don't know if that even would make sense.  If this is true, those arbitrage opportunities aren't going to last long.  Smart traders will plug up all the holes--they always do.

[MingLee]

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

It's weird to be honest, surprising to think that they're just freaking out over some banknotes being discontinued.

I can see it being an issue if even banks are no longer accepting the banknotes that are going to be going out of circulation, but I would expect better from the government and I believe that they would maintain their value until the bill takes affect.

[lottery248]

ARBITRAGE

convert rupee to USD via conventional methods.
but bitcoin with USD, sell it to rupee

profit

convert rupee to USD via conventional methods.
but bitcoin with USD, sell it to rupee

profit

rinse and repeat

if the cycle fails, no profits to anyone at all.

i guess the demolished 500 and 1000s could be still avaliable in India as collectible currency. to bitcoin, it is surely because they don't need to worry about the period of when their banknote will be demonetized once again. tax heaven to them.

[The_Dark_Knight]

I really don't understand it what's the point of buying it at a high price. As soon things starts getting better price will crash. Secondly don't you need documents to buy it that will be linked with income tax, so what's sense of buying it or they are buying without the documents? This is a blind move and it shall not be good. People stay away at such prices

I think they may be buying in order to protect the value of their savings so even if they are paying a premium and even if the price was going to get lower they are willing to pay that high price so they can get out of their currency.

[Wind_FURY]

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

I have 2 questions for this. How and where are they buying the $900 per Bitcoin from? Who is scamming them into buying Bitcoin for that high of a price?

I believe some people over at India are taking advantage of the people's desperate situation and their ignorance. This is not good news to me because it really does not bring anything to Bitcoin except for another case of people scamming other people story.

[romero121]

Now as the cash deposit has got lots of restrictions in banking with limitations, people might have planned to convert their fiat and make it secure in the form of digital assets. On this base I believe the pricing might have crossed $900+, which looks to have 30%+ profit margin.

[OROBTC]

ARBITRAGE

convert rupee to USD via conventional methods.
but bitcoin with USD, sell it to rupee

profit

convert rupee to USD via conventional methods.
but bitcoin with USD, sell it to rupee

profit

rinse and repeat

India has very strange laws on foreign exchange that may explain part of the very high price premium for BTC vs. the world price.

It is cumbersome to exchange rupees for dollars.  Gold is expensive there (I know, I bought 10 grams there once).  Were I a merchant in India I would prefer to have BTC rather than rupees.  For me to give up my Bitcoin, they would have to pay me ($150 over "spot" (so, $900) seems about right).  I saw NO obvious opportunities for arbitraging gold or BTC when there (a year ago), and I was looking...

India and China do not have all that much in common as one would think.  China has a modern & "go-get-'em" mentality, India is still stuck in ignorance and superstition outside of their cities.  Modi has provided a good example of incompetence in India...

[pooya87]

how is this even possible?
i mean i can see a small price different like $800-820 but $900 is still pretty high it is $160 difference, and my surprise is because this creates a huge arbitrage opportunity and how come nobody has taken this opportunity to make a lot of money yet?

When this happened with China a few months back it pulled the price of bitcoin up in the rest of the global market because of the obvious arbitrage opportunities. Looks like the same thing will happen with India. I would expect the effect to be more modest because India is presumably a smaller player in the bitcoin ecosystem, but if the underlying cause is more dramatic and sustained that could be wrong.

I recall hearing once that India is disproportionately a buyer/hoarder of gold, all things considered. I wonder how this could play into their cash crisis and the spillover to bitcoin?

but was Chinese price this high?
i remember it being higher but not with this much difference.

[raven7886]

What's this all about I have many friends who deals 24 hours with bitcoin but none of them had heard about this. Well anyone explain me who is paying and why they are paying $900. Is there any logical game behind this .

Yeah, this all seems kinda strange to me too.  I don't know why anyone would need or want to pay more than market rate for bitcoin except for purposes of staying extremely anonymous or something.  Don't know if that even would make sense.  If this is true, those arbitrage opportunities aren't going to last long.  Smart traders will plug up all the holes--they always do.

Actually they have black money which they neither can deposit to bank and neither they can use it since its banned so they are buying bitcoins with their cash because bitcoins can be sold later once the issue in India settles.
I guess still people should not pay 900$ though lol being the market value 750$

[rajasumi3]

Well i think its just because of demonetosation .it is making it difficult for them to get black money out in the market .thats y .and bitcoins are in high demand because of this .and i think its the best for everyone ..kudoos

[BitcoinHodler]

i never thought i live to see the day that people of a country actually start buying bitcoin this massively and this expensive just because there is a financial crisis going on in their country.

we have already heard some news about it in Greece and two other places before but they were mostly talk and no action. this time they are actually buying bitcoin!

[20kevin20]

i never thought i live to see the day that people of a country actually start buying bitcoin this massively and this expensive just because there is a financial crisis going on in their country.

we have already heard some news about it in Greece and two other places before but they were mostly talk and no action. this time they are actually buying bitcoin!

The safest currencies are the only ones that have the possibility to live during a crisis in this world. In our case, it should be Gold and Bitcoin. Bitcoin as the second because it's virtual and without Internet or electricity we can do NOTHING with it. Gold requires a small space for 1kg (it's as small as a phone), and Gold was always the best one during the World Wars. This is why the traders are relying on Gold too.

[springgers]

There's an internacional exchange where we can sell Bitcoin to this guys? Nice hour to make some money, still don't know why this rush, paying 15%+? Seriously? Why they don't wait a little time?

[iram3130]

There's an internacional exchange where we can sell Bitcoin to this guys? Nice hour to make some money, still don't know why this rush, paying 15%+? Seriously? Why they don't wait a little time?

Everyone is selling at that price mate.
How much will anyone wait.?
This is the rate from more than 15 days now and it will definitely take another 15-30 days. 

[densuj]

   
The Indian government's demonetization drive resulting in chaos and a rush of money, the Indians turn to God to overcome the crisis.
Places of worship invited to transfer receive money

The characterization of India as a spiritual place by most tourists is not bad, given that it is the cradle of several religions, including Hinduism, Buddhism and Sikhism. Religious institutions play an important role in everyday life and get a lot of money - including small bills - in the form of donations. The Ministry of Finance has asked religious institutions to deposit their money in the donor banks, which can then redistribute these small notes into the economy.

In the southern state of Kerala, the Porres Martin De Church opens its collection box to help the needy. The church opens its box of gifts normally once every six months.
Efforts to launder money

[prabowo96]

Bitcoin will be a headhache for all governments in the future.

Everytime that they make something for the economy that people don't like, they will run to bitcoin, hope it can increase the acceptance of bitcoin in the market, not just exchanges.

[clickerz]

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

I have 2 questions for this. How and where are they buying the $900 per Bitcoin from? Who is scamming them into buying Bitcoin for that high of a price?

I believe some people over at India are taking advantage of the people's desperate situation and their ignorance. This is not good news to me because it really does not bring anything to Bitcoin except for another case of people scamming other people story.

I think you were right and this issue should be cleared. I mean, i find this news sort of a speculation unless we can see exchanges having that price. It it happen in personal transaction, then @Wind_FURY, you are correct sir,  another case of people scamming other people.

[QuestionAuthority]

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

I have 2 questions for this. How and where are they buying the $900 per Bitcoin from? Who is scamming them into buying Bitcoin for that high of a price?

I believe some people over at India are taking advantage of the people's desperate situation and their ignorance. This is not good news to me because it really does not bring anything to Bitcoin except for another case of people scamming other people story.

I think you were right and this issue should be cleared. I mean, i find this news sort of a speculation unless we can see exchanges having that price. It it happen in personal transaction, then @Wind_FURY, you are correct sir,  another case of people scamming other people.

That's not a very entrepreneurial perspective. What we need to do is figure out how to arbitrage the shit out of this situation before it dries up.

[zeedollar]

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

Everybody is trying to hold their bitcoin like its their last cookie in the box. Even with the cash crisis its obvious why it going for that price, not that it is good for bit coin in the end though.

[Blackshadow007]

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

I guess this price for India will be there until December 30 , Cause of current Cash crisis . People can't do Legally CASH PURCHASE of bitcoin now due to this Note restrictions .

[richardsNY]

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

I have 2 questions for this. How and where are they buying the $900 per Bitcoin from? Who is scamming them into buying Bitcoin for that high of a price?

I believe some people over at India are taking advantage of the people's desperate situation and their ignorance. This is not good news to me because it really does not bring anything to Bitcoin except for another case of people scamming other people story.

I think you were right and this issue should be cleared. I mean, i find this news sort of a speculation unless we can see exchanges having that price. It it happen in personal transaction, then @Wind_FURY, you are correct sir,  another case of people scamming other people.

That's not a very entrepreneurial perspective. What we need to do is figure out how to arbitrage the shit out of this situation before it dries up.

There is just one wealthy individual needed to get the price there to come back to much more realistic levels. If a whole bunch of people knew how to do this, then the price there wouldn't be anywhere near the current levels. But if the exchange in question spots a huge load of incoming coins, won't they use that bit of insider information in their advantage you think? They surely will.

[QuestionAuthority]

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

I have 2 questions for this. How and where are they buying the $900 per Bitcoin from? Who is scamming them into buying Bitcoin for that high of a price?

I believe some people over at India are taking advantage of the people's desperate situation and their ignorance. This is not good news to me because it really does not bring anything to Bitcoin except for another case of people scamming other people story.

I think you were right and this issue should be cleared. I mean, i find this news sort of a speculation unless we can see exchanges having that price. It it happen in personal transaction, then @Wind_FURY, you are correct sir,  another case of people scamming other people.

That's not a very entrepreneurial perspective. What we need to do is figure out how to arbitrage the shit out of this situation before it dries up.

There is just one wealthy individual needed to get the price there to come back to much more realistic levels. If a whole bunch of people knew how to do this, then the price there wouldn't be anywhere near the current levels. But if the exchange in question spots a huge load of incoming coins, won't they use that bit of insider information in their advantage you think? They surely will.

Yeah, huge profits using successful arbitrage is rare but small ones are commonplace. Just ask a forex trader.

[Juggy777]

The sudden level of interest in Bitcoin has gone up a 100%, it's this interest that's is making the price rise. Secondly it's all speculations that makes it grow. The operators, are making a merry. Since the 85% of their currency is demonitized they are making a huge beeline for Bitcoin. It's simple supply has exceeded the demand.

[calkob]

good time to sign up to an Indian exchange and sell...... i am certain that someone will be making a fortune 

[Doamader]

India doesnt allow gamble in their country, atleast not with their local currency, with that said bitcoin is being used a lot for gamble purposes, soo i do believe the raise into interest besides the bank notes replace, is because people does wanna to gamble, besides being a good investment knowing bitcoin potencial to reach 1000 dollars on the next 4 years.

[upsidedown75]

I really don't understand it what's the point of buying it at a high price. As soon things starts getting better price will crash. Secondly don't you need documents to buy it that will be linked with income tax, so what's sense of buying it or they are buying without the documents? This is a blind move and it shall not be good. People stay away at such prices

I think they may be buying in order to protect the value of their savings so even if they are paying a premium and even if the price was going to get lower they are willing to pay that high price so they can get out of their currency.

But they can buy gold, no ? I also seen in some news that there are people who are making black money white by just taking 10-20% so I think people would have considered that but maybe the demand of bitcoins has increased since bitcoins are digital and Indians are becoming digital more and more.

[richmcrich]

Now as the cash deposit has got lots of restrictions in banking with limitations, people might have planned to convert their fiat and make it secure in the form of digital assets. On this base I believe the pricing might have crossed $900+, which looks to have 30%+ profit margin.

Yeah looking at that I think its a good idea to do some trades in India, I will really consider someone who can help me with that since I have some bulk quantity of bitcoins.
And hey, they are not in loss buying at 900$ because the price would be around 1100$ around christmas and new year.

[karawantbtc]

Wait until the us has a financial crisis. bitcoin prices go will through the freakin roof!  Im guess this is months not years away.

[richardsNY]

Wait until the us has a financial crisis. bitcoin prices go will through the freakin roof!  Im guess this is months not years away.

People have been saying that for years now and it yet has to happen. I am more looking at weaker countries that might spark Bitcoin to rocket up to much higher levels instead of the US. India at this point is contributing nothing to the price. If this subject really has some sort of impact, then it's purely specultive and not worth much since we don't know how long this will last.

[Cashew]

Would that be the proof that the price isn't global and that there is micro-economies over the world ?

[Fortify]

It will be interesting to see if there is a dip in bitcoin after the 50 day buffer time given to redeem those 500 and 1,000 rupee notes at banks. Once Indians have moved to the new notes it would make sense for it to stabilise but any fiat currency actions like this will drive people to cryptocurrencies or other commodities in the long term.

[aso118]

Would that be the proof that the price isn't global and that there is micro-economies over the world ?

The price difference is due to capital controls put in place by governments. Traders are therefore not able to arbitrage this difference efficiently.
If exporters of goods/services can take bitcoins instead of foreign exchange, this price difference would disappear.

[Labumi]

Would that be the proof that the price isn't global and that there is micro-economies over the world ?

The price difference is due to capital controls put in place by governments. Traders are therefore not able to arbitrage this difference efficiently.
If exporters of goods/services can take bitcoins instead of foreign exchange, this price difference would disappear.

Yeah it is very true. But I think this all may never happen, because if this is the case then any State revenue will plummet because everyone can freely to conduct a transaction between countries with very cheap piece and this means it will also eliminate foreign exchange of the country. Or the user might later bitcoin will get tax in each year

[arcanaaerobics]

How long it lasted?

Good time for arbitration and earn some money.

Really nice to see India enjoying on bitcoin world!

[ricardobs]

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

When a country takes such hilarious and odd decisions then the population suffers. I have seen some friends buying bitcoins for over 900$ its actually around 60000 INR which means around $950 per bitcoins. The demand is more insane for cash deals.

[BitcoinHodler]

i never thought i live to see the day that people of a country actually start buying bitcoin this massively and this expensive just because there is a financial crisis going on in their country.

we have already heard some news about it in Greece and two other places before but they were mostly talk and no action. this time they are actually buying bitcoin!

The safest currencies are the only ones that have the possibility to live during a crisis in this world. In our case, it should be Gold and Bitcoin. Bitcoin as the second because it's virtual and without Internet or electricity we can do NOTHING with it. Gold requires a small space for 1kg (it's as small as a phone), and Gold was always the best one during the World Wars. This is why the traders are relying on Gold too.

when a crisis happens in the world people are not thinking about "money" they think about food and shelter and the basic survival things! instead. and besides you can never store gold or anything else of value in times of crisis especially something that weighs 1 kilogram! and it wouldn't be small either.

[Yaupgitda]

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

When a country takes such hilarious and odd decisions then the population suffers. I have seen some friends buying bitcoins for over 900$ its actually around 60000 INR which means around $950 per bitcoins. The demand is more insane for cash deals.

The very corrupted officials will not suffer. They have the inside information and already exchanged the notes.

[Hazir]

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

When a country takes such hilarious and odd decisions then the population suffers. I have seen some friends buying bitcoins for over 900$ its actually around 60000 INR which means around $950 per bitcoins. The demand is more insane for cash deals.

The only truly bad decision was not demonetize 500 and 1000 rupee notes, but setting so short exchange period.
How Indian authorities expected people would react if they get only 2 moths to exchange their old banknotes, of course it will be mass panic.
If Indian government can pull something like that off out the blue then no wonder Bitcoin is the most desired asset in India right now.

[BTCLovingDude]

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

one thing that i do not see anyone talking about which was in the article, is the fact that article's source for bitcoin price in India is localbitcoins and we all know that prices there are user defined and always higher than real exchange prices, and i don't think many people are going to buy from localbitcoins when they can buy from some place like btc-e with $200 under the price!

[Shiroslullaby]

I can't really blame sellers for asking a premium, price is based on supply and demand.
If people are willing to pay the price, a vendor is going to maximize their profits.
With all the chaos surrounding Indian banks, people are uncertain of the countries economic future, and in some cases unable to withdraw funds from their local branch.
Times like this are exactly what causes a surge of use in Bitcoin.

[barbara44]

        This not strange. In times of economic crisis and also when the inflation of fiat currency is intense people are directed elsewhere in order to protect their savings. (eg gold). Nowadays is much more safe, quick and anonymous to buy not only bitcoins but and altcoins such as litecoins and ethereum instead of bank notes.

Yeah actually been banned the currency people in India have like 50% of their money as black money due to high taxes and hence they are trying to buy some bitcoins by depositing money to bank, since they are rightly loosing trust in the government and shifting their trusts into bitcoin ecosystem. I guess they are right as bitcoins must be a right solutions for them.

[myparentsdisownedme]

What will this do to the market?

I feel like it should obv only help since theyre over valuing it but idk

[rajasumi2]

Its all because of demonetisation that increase the demand of bitcoins. Goverment has send to jeweller owners who had bought jewellers during that time but not bitcoins .because its online .and goverment trust out people .its good .and we should be haply about that ..kudoos

[Doamader]

Even with they paying a bit above the real value at the moment of bitcoin, i do believe those price will be achieved on the next 4 years, but taking into consideration people are buying to gamble, as well to protect their savings into bitcoin i do believe bitcoin can reach those value faster, and its a protection measure we people can take against the country when we dont trust at them at all.

[The_Dark_Knight]

How long it lasted?

Good time for arbitration and earn some money.

Really nice to see India enjoying on bitcoin world!

This has been good for those holding bitcoin and the speculators but for the average person bitcoin has been nothing but a lifeboat and they don't know if its going to hold up as expected.

[yayayo]

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

When a country takes such hilarious and odd decisions then the population suffers. I have seen some friends buying bitcoins for over 900$ its actually around 60000 INR which means around $950 per bitcoins. The demand is more insane for cash deals.

The very corrupted officials will not suffer. They have the inside information and already exchanged the notes.

It's always the same. Those who trust in government or have no choice to escape its reach will pay the bill - well, unless they are part of the officialdom. The effect of the government's decision has been devastating especially for the poorer people. A lot of trust has been eroded. Things could quickly go out of hand for the current ruling class, when large parts of the population are starving, because they could not buy seeds to sow their crops.

Certainly, people will learn from it and seek better alternative to store their funds than fraudulent fiat money subject to arbitrary devaluation. As precious metals as a safe store of value face increasing restrictions by the government, more people will look further and will discover Bitcoin.

The current premium paid is due to limited Bitcoin supply (no major mining operations in India) and generally high inflation of India's fiat currency which makes it highly unattractive even without "special actions" by the central bank.

ya.ya.yo!

[Yakamoto]

How long it lasted?

Good time for arbitration and earn some money.

Really nice to see India enjoying on bitcoin world!

This has been good for those holding bitcoin and the speculators but for the average person bitcoin has been nothing but a lifeboat and they don't know if its going to hold up as expected.

The India value of Bitcoin holding up for any period of time beyond January 2017? Very unlikely. Anyone buying in now is making a mistake and should sell what they have and just get it all in smaller banknotes. The value will plummet quickly once the notes go out of circulation and the new bank productions enter the economy.

[richardsNY]

How long it lasted?

Good time for arbitration and earn some money.

Really nice to see India enjoying on bitcoin world!

This has been good for those holding bitcoin and the speculators but for the average person bitcoin has been nothing but a lifeboat and they don't know if its going to hold up as expected.

The India value of Bitcoin holding up for any period of time beyond January 2017? Very unlikely. Anyone buying in now is making a mistake and should sell what they have and just get it all in smaller banknotes. The value will plummet quickly once the notes go out of circulation and the new bank productions enter the economy.

It all depends on how much panic there is. If you look at the actual volumes there, then it's utterly low considering how large India is. If this is just the beginning of what has to come, then people will continue to pay significant premiums for a couple of more months. But if large players know how to use the higher price in their benefit, then it will bring the price down significantly. Even to such levels that when the prices there match the prices on western exchanges, that they will consider it to be a huge loss. They don't understand that as long as they don't sell anything, they don't lose anything.

[Zicadis]

I saw some posts in the currency exchange section so knew something was up with india cashing out to get bitcoin.

[Doms]

It is good to know that India is opening its arms to bitcoin and people are looking for alternatives to protect their money from devaluation. Same as what the Chinese did when the yuan started to lose some of its value. It is also worth noting that an Indian university will also be accepting bitcoin as payment for tuition fee. These are all small steps towards mass adoption and it is nice that we are seeing progress day by day.

[bitcoinmasterlord]

I saw some posts in the currency exchange section so knew something was up with india cashing out to get bitcoin.

But the people is if seller ready to accept those old notes then they will surely get even better rates, but seller needs to find ways to exchange those old notes. It is not entirely correct the people investing in Bitcoins in India. As of now who ever got money in banks they are safe and no need to worry much about current demonisation issue but the issue with the people who has got hard cash in hand. But with that old notes they can purchase bitcoins online.

[rajasumi3]

Its all because of demonetisation .when the real gold s price owners are getting notices of who are buying gold ad give them the cctv footage of who bought them .then only bitcoins become the only method ..kudoos

[iamnotback]

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

They will need to switch to Bitcoin to escape from government taxes:

http://www.hindustantimes.com/india-news/after-complaints-of-printing-variations-rbi-says-new-rs-500-rs-2000-notes-legal/

[Sithara007]

When a country takes such hilarious and odd decisions then the population suffers. I have seen some friends buying bitcoins for over 900$ its actually around 60000 INR which means around $950 per bitcoins. The demand is more insane for cash deals.

How the cash deals can go forward, when the country is facing an acute shortage of banknotes? If you are suggesting that the buyer is purchasing the coins in exchange for the now-defunct ₹500 and ₹1,000 notes, then this is almost certain to cause issues to the seller. 

[hakanbalta577]

I am also from India and facing this issue as well.The main reason behind this have our government is taken a huge step and banned the higher value notes to take control of black money.So peoples here are trying to either buy gold with them quickly and some who know about bitcoins want to buy it.
Every day i see in our india exchange btcxindia.com,the price of bitcoin is just inreasing.

[iamnotback]

I am also from India and facing this issue as well.The main reason behind this have our government is taken a huge step and banned the higher value notes to take control of black money.So peoples here are trying to either buy gold with them quickly and some who know about bitcoins want to buy it.
Every day i see in our india exchange btcxindia.com,the price of bitcoin is just inreasing.

Is gold viable as a currency? How do you trade a gold necklace for a hamburger?

Wouldn't an instant currency transfer with your mobile phone be more practical?

Aren't Indians very fond of having a smart phone as soon as they can afford one?

The government can't stop people from using crypto-currency unless they block the Internet.

Am I correct that Indians hate to pay taxes?

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

They will need to switch to Bitcoin to escape from government taxes:

http://www.hindustantimes.com/india-news/after-complaints-of-printing-variations-rbi-says-new-rs-500-rs-2000-notes-legal/

[n0ne]

Traders from India has been using the situation in a way to make good earning. Because it looks like the currency is getting devaluation due to the decreased circulation than required. It is a good plan to reveal the people holding lot of black money, but the method of implementation got failed.

[1Referee]

Traders from India has been using the situation in a way to make good earning.

Of course, there will be a few people taking advantage of this higher price to a certain extent, but there is barely any real supply. If a serious trader that is being seen as a relatively small trader with 100BTC here, then this exact same trader will be a massive whale if he is operating from one of their exchanges. Another thing is that with 100BTC, you can get the price there to go down with 50% (if not lower) without any effort.

It is a good plan to reveal the people holding lot of black money, but the method of implementation got failed.

It doesn't impact the rich elite. It's either the middle class people that are being affected, and the group of poor people which is the far majority. It's another attempt to strengthen their control on the economy. The hunger for control from the government's side is what makes people jump into Bitcoin. They don't want you to have any financial freedom.

[Juggy777]

When I visit the site zebpay that sells it clearly says that they need to upload their Pancard, isn't Pancard linked to every transaction and the tax men will eventually find out they hid their money there, so what's the point and today it hitting approx 1000$,this is madness, what will happen when price falls.

[error08]

Yes, I am from Indian and I bought my part of bitcoin at the rate of $776 per bitcoin. I usually accept bitcoin in my business and sometimes I purchase bitcoins from localbitcoins and I prefer digital fiat wallet like paytm (backed by Alipay) or freecharge and not everyone accepts it so I have to deal with those who have that option in payments. Since I don’t keep much cash with me and prefer electronic transfers, I am not affected by the cash crisis.

Glad for you, these kind of gov decision that gave bad impact to economics and people was the most suffer if crisis happens.
Bitcoin is one of good option to saving your money instead of cash which the value always decline from time to time due to inflation and whatever banks regulations cause those situation. But Indian people bought $800-900 for 1 btc was quite not fair, even if demand increase but bitcoin has standard price right, I think some of exchanges raised it too much.

[Techie5879]

That is the kind of cash crisis here. People have payed upto 800 $ though, I never saw $900 for a single bitcoin. Many people are also trying to hoard their money up using this, specially the black market holders. And yes, to reply to some people above, people are using banned notes and stuff to hoard up by buying gold, and bribes even. Every day in Indian exchange btcxindia.com, the price of bitcoin is indeed inrceasing, and you can check the prices in google too. Its well above 50k INR, while it was 42-43k INR just before this crisis.

[pereira4]

What volume of BTC is the indian exchanges moving? that is what I want to know, because $900 per BTC seems unlikely with big volume, maybe someone bought like 0.1 BTC and now the newspapers are picking up on that headlines of "$900 BTC in India" which is flashy and clickbaity, just like ZEC got millionaire amounts per coin for tiny a mounts of ZEC and it got headlines in the papers.

In any case, this is the begining of the end of fiat currencies, we will see this happening all over the world and bitcoin will be worth $100000 with good volume over the next 10 years.

[hakanbalta577]

I am also from India and facing this issue as well.The main reason behind this have our government is taken a huge step and banned the higher value notes to take control of black money.So peoples here are trying to either buy gold with them quickly and some who know about bitcoins want to buy it.
Every day i see in our india exchange btcxindia.com,the price of bitcoin is just inreasing.

Is gold viable as a currency? How do you trade a gold necklace for a hamburger?

Wouldn't an instant currency transfer with your mobile phone be more practical?

Aren't Indians very fond of having a smart phone as soon as they can afford one?

The government can't stop people from using crypto-currency unless they block the Internet.

Am I correct that Indians hate to pay taxes?

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

They will need to switch to Bitcoin to escape from government taxes:

http://www.hindustantimes.com/india-news/after-complaints-of-printing-variations-rbi-says-new-rs-500-rs-2000-notes-legal/

Sadly yes indian dont love to pay taxes but i am totally against it because there is a huge lot of black money in our country which is slowing down country's progress for sure,thats why that strong step being taken to remove all those black money.
Bitcoin can be an option but still to buy bitcoin people have to first deposit their cash to bank account and then buy bitcoin and i that way government can track that big amount is being deposited but yes they can never know how much bitcoins have been holded and hence cannot take tax for that.

[bryant.coleman]

This is just crazy!!!

I was checking the localbitcoins Indian section, and the exchange rates are just rocketing upward. Right now, the best deal is at $964 per coin (the exchange rate in BTC-e is $736 per coin), and this represents a premium of 31%.

Who is buying the coins at such high prices? I think that it is only a matter of time before the exchange rate hits $1,000 per coin in India!!!

[iamnotback]

I am also from India and facing this issue as well.The main reason behind this have our government is taken a huge step and banned the higher value notes to take control of black money.So peoples here are trying to either buy gold with them quickly and some who know about bitcoins want to buy it.
Every day i see in our india exchange btcxindia.com,the price of bitcoin is just inreasing.

Is gold viable as a currency? How do you trade a gold necklace for a hamburger?

Wouldn't an instant currency transfer with your mobile phone be more practical?

Aren't Indians very fond of having a smart phone as soon as they can afford one?

The government can't stop people from using crypto-currency unless they block the Internet.

Am I correct that Indians hate to pay taxes?

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

They will need to switch to Bitcoin to escape from government taxes:

http://www.hindustantimes.com/india-news/after-complaints-of-printing-variations-rbi-says-new-rs-500-rs-2000-notes-legal/

Sadly yes indian dont love to pay taxes but i am totally against it because there is a huge lot of black money in our country which is slowing down country's progress for sure,thats why that strong step being taken to remove all those black money.

Bitcoin can be an option but still to buy bitcoin people have to first deposit their cash to bank account and then buy bitcoin and i that way government can track that big amount is being deposited but yes they can never know how much bitcoins have been holded and hence cannot take tax for that.

Bitcoin has that problem of onboarding, but Steem(it) does not. And there is a better clone/kind of Steem(it) coming which I think is going to make it very easy for the people to get crypto-currency without needing to go through an exchange. And then the world will change. I say this, because I am the person who is creating this new project.

Why is not paying taxes bad for your country? The government is the most inefficient use of resources, so keeping resources out of the government's hands should be the best for growing the economy.

“An elephant is a mouse built to government specifications.”  ― Lazarus Long

You think the government is the only entity which can build roads, schools, and provide food and health care to the indigent?

Rather the problem in India is your country doesn't allow foreigners to invest there without a lot of corrupt bureaucracy. The problem of India is all the corruption. I read there are corrupt police and officials and it is very difficult and dangerous to attempt to do business there.

So what you really need in India is to stop the caste system and stop the corruption.

With crypto-currency and the Internet, we can empower the people of India to rise above the corruption, because the government officials can't control the Internet, the way they can control the lands, the licenses to build infrastructure and do physical business. The virtual economy is global and the people can increasingly go to it to earn income which can't be corrupted.

This is the future.

[Victorycoin]

that's what happens when there's no liquidity. i'll guess it's also a pain in the ass to wire money out of india. nothing much to get worked up about. it's a market that's all on its own.

Is that really a case of no liquidity or scarcity? I think much more Indians are losing faith in the Rupee as a result of not understanding what direction the government is headed with the currency thus creating a huge demand for a currency outside the control of their government and our dear bitcoin, comes handy there.

Wiring money out of India still walks the corridors of the authorities and so it is nothing changed from what used to be. This development in India is a pointer to what to expect in the future, as more and more people finally discover in bitcoin, what the fiat currencies have denied them.

[Dudeperfect]

Yes, I am from Indian and I bought my part of bitcoin at the rate of $776 per bitcoin. I usually accept bitcoin in my business and sometimes I purchase bitcoins from localbitcoins and I prefer digital fiat wallet like paytm (backed by Alipay) or freecharge and not everyone accepts it so I have to deal with those who have that option in payments. Since I don’t keep much cash with me and prefer electronic transfers, I am not affected by the cash crisis.

Glad for you, these kind of gov decision that gave bad impact to economics and people was the most suffer if crisis happens.
Bitcoin is one of good option to saving your money instead of cash which the value always decline from time to time due to inflation and whatever banks regulations cause those situation. But Indian people bought $800-900 for 1 btc was quite not fair, even if demand increase but bitcoin has standard price right, I think some of exchanges raised it too much.

Yes absolutely, paying more than actual price is not worth it in usual cases but since it is a period of financial crisis, people have paid more for time instead of bitcoin. Yes I have also faced problems like standing in ATM queues for 1 hour and more to withdraw cash from my bank account but still as a student of economics I support such decision  of the government and although it’s painful now but it will give good returns in the long term.

[jyakulis]

Puhlease ...you can't eat a bitcoin

[neochiny]

That is the kind of cash crisis here. People have payed upto 800 $ though, I never saw $900 for a single bitcoin. Many people are also trying to hoard their money up using this, specially the black market holders. And yes, to reply to some people above, people are using banned notes and stuff to hoard up by buying gold, and bribes even. Every day in Indian exchange btcxindia.com, the price of bitcoin is indeed inrceasing, and you can check the prices in google too. Its well above 50k INR, while it was 42-43k INR just before this crisis.

But what I want to know is that, are people able to use the "banned notes" and/or "black money" to buy bitcoins from the local exchanges? Do you have any idea? Because I have searched through Unocoin some weeks back and saw that they require a PAN (Permanent Account Number) just to register. So, that would mean, every time they'd want to buy/deposit to their Unocoin account they'd have to go through the banks.

[hakanbalta577]

I am also from India and facing this issue as well.The main reason behind this have our government is taken a huge step and banned the higher value notes to take control of black money.So peoples here are trying to either buy gold with them quickly and some who know about bitcoins want to buy it.
Every day i see in our india exchange btcxindia.com,the price of bitcoin is just inreasing.

Is gold viable as a currency? How do you trade a gold necklace for a hamburger?

Wouldn't an instant currency transfer with your mobile phone be more practical?

Aren't Indians very fond of having a smart phone as soon as they can afford one?

The government can't stop people from using crypto-currency unless they block the Internet.

Am I correct that Indians hate to pay taxes?

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

They will need to switch to Bitcoin to escape from government taxes:

http://www.hindustantimes.com/india-news/after-complaints-of-printing-variations-rbi-says-new-rs-500-rs-2000-notes-legal/

Sadly yes indian dont love to pay taxes but i am totally against it because there is a huge lot of black money in our country which is slowing down country's progress for sure,thats why that strong step being taken to remove all those black money.

Bitcoin can be an option but still to buy bitcoin people have to first deposit their cash to bank account and then buy bitcoin and i that way government can track that big amount is being deposited but yes they can never know how much bitcoins have been holded and hence cannot take tax for that.

Bitcoin has that problem of onboarding, but Steem(it) does not. And there is a better clone/kind of Steem(it) coming which I think is going to make it very easy for the people to get crypto-currency without needing to go through an exchange. And then the world will change. I say this, because I am the person who is creating this new project.

Why is not paying taxes bad for your country? The government is the most inefficient use of resources, so keeping resources out of the government's hands should be the best for growing the economy.

“An elephant is a mouse built to government specifications.”  ― Lazarus Long

You think the government is the only entity which can build roads, schools, and provide food and health care to the indigent?

Rather the problem in India is your country doesn't allow foreigners to invest there without a lot of corrupt bureaucracy. The problem of India is all the corruption. I read there are corrupt police and officials and it is very difficult and dangerous to attempt to do business there.

So what you really need in India is to stop the caste system and stop the corruption.

With crypto-currency and the Internet, we can empower the people of India to rise above the corruption, because the government officials can't control the Internet, the way they can control the lands, the licenses to build infrastructure and do physical business. The virtual economy is global and the people can increasingly go to it to earn income which can't be corrupted.

This is the future.

Yes you are right on the fact that corruption is a lot in India specially highly ranked government officers,police and the ministers as well are the most corrupted.No work can be done without their permission and they ask you bribe for that,weather your project is right or wrong.And yes caste system prevails a lot as well in India.
Thats why i also like crypto-currency because i also dont want any of these corrupted officials to know my wealth or control it and i have to pay them my earned money.
But right now i do not know how it is possible to buy bitcoins without the use of bank and without going through exchanges specially in India.

[overthetop2011]

The majority people are not aware of the true BTC value yet.

Let us wait and  find out what would happen after next 5 years.

[iamnotback]

But right now i do not know how it is possible to buy bitcoins without the use of bank and without going through exchanges specially in India.

It will become possible to get crypto-currency for free by joining a social network and just using it the way you normally use Internet sites. You will "earn" this crypto-currency.

Steemit.com pioneered this concept but for blogging only and their method is I think not optimum. I have a project coming for this. Stay tuned...

[outatime1]

I countries where there is huge inflation, bitcoin can be a good store of value. I think that is the situation in some countries in South American as well. As long as you have a way to transfer the fiat currency to bitcoin,it can be a good alternative.

[fiscorcle]

That is an over inflated amount that these people are paying and no wonder some of them have resorted to buying them on the black market for cheaper rates. That is just insane! Isn't that more than what China is paying per coin?

[Xester]

I countries where there is huge inflation, bitcoin can be a good store of value. I think that is the situation in some countries in South American as well. As long as you have a way to transfer the fiat currency to bitcoin,it can be a good alternative.

Yes India sees bitcoin as a way of protecting their investments if in case their fuat currency goes down. It is a good strategy for them to hold bitcoins not only it is increasing in price but can be their way out of financial crisis. But when we speak of India it does not refer to the whole India but only to those selected few who have a good background on economy and cryptocurrency.

[Vaskiy]

Various news describes it as an worst planning made by a prime minister. Another thing he had asked to have patience for 50 days. Every problem will be sorted but economist say that's impossible. Now the price of bitcoin in Indian market is decreasing slowly which means the situation is getting better than the starting.

[Sithara007]

Various news describes it as an worst planning made by a prime minister. Another thing he had asked to have patience for 50 days. Every problem will be sorted but economist say that's impossible. Now the price of bitcoin in Indian market is decreasing slowly which means the situation is getting better than the starting.

The RBI has started the distribution of the ‎₹500 banknote, which has helped to keep the situation under control. It is true that the planning was bad. But now the situation is getting better and even the stock markets are going up.

[iamTom123]

It must really be good to do business in India since the supply is scarce. Profits can be rolling in and out because am sure there are now many investors in India who are looking at Bitcoin as one of the best alternative currency in the digital form. Long live Bitcoin in India!

[Invulner]

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

There must be some huge arbitrage opportunity to be exploited here. I mean 13% is not bad at all, take away 3% for fees and 3% for currency exchange fees... You're still pocketing 7% per trade.

Is there some sort of restriction that doesn't allow the outflow of rupees in the country ATM? I don't think so.

[Sithara007]

There must be some huge arbitrage opportunity to be exploited here. I mean 13% is not bad at all, take away 3% for fees and 3% for currency exchange fees... You're still pocketing 7% per trade.

Is there some sort of restriction that doesn't allow the outflow of rupees in the country ATM? I don't think so.

It is not as easy as it sounds. Physical cash is in short supply. If you are selling Bitcoins, then you have to accept bank transfer in return. And right now, the RBI is monitoring all the transactions above a certain threshold.

[iamnotback]

Coming to a country near you soon...

The war on cash is in full swing. The whispers behind the curtain are starting to get louder. The headlines in Australia demonstrate how the press is already conspiring against the people. The new slogan rising is Cash is for Criminals. ABC of Australia ran the story:

Cash is for criminals: Why we should scrap big notes

[gribble]

It must really be good to do business in India since the supply is scarce. Profits can be rolling in and out because am sure there are now many investors in India who are looking at Bitcoin as one of the best alternative currency in the digital form. Long live Bitcoin in India!

Yep, long live bitcoin in India it is will come true if there are innovations new ideas on there, especially from exchangers and there is good news about unocoin they release mobile wallets and it will make easy usage of bitcoins on there, i like this innovation and i am sure bitcoin will be survive on India.
http://www.coindesk.com/bitcoin-exchange-unocoin-releases-mobile-wallet-ios-android/

[RealEstCoin]

The premium for btc in India presents opportunities for altcoins to also thrive in their market.

[alyssa85]

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

There must be some huge arbitrage opportunity to be exploited here. I mean 13% is not bad at all, take away 3% for fees and 3% for currency exchange fees... You're still pocketing 7% per trade.

Is there some sort of restriction that doesn't allow the outflow of rupees in the country ATM? I don't think so.

They have capital controls, that's why the difference in prices exists. Otherwise it would have been arbed away.

The rupee is also sinking against the dollar, so I supposed those who are paying extra to buy bitcoin will recover their money in a few months time when the rupee sinks further.

[gribble]

The premium for btc in India presents opportunities for altcoins to also thrive in their market.

Yes and exchangers on India unocoin will become large exchangers it is mean progress of growing bitcoin on there is very nice. Unocoin has made innovation on their markets are like no fees when use their service,
For more details about the revolution bitcoin on India we can check on here.
 http://www.newsbtc.com/2016/11/28/unocoin-leading-bitcoin-revolution-india/

[btvGainer]

The current demonetization by Government had rendered black money lying in cash useless and people are finding ways to keep their money untraceable in digital form.What best option available for this than bitcoin.I predict more bitcoin price hike as now btc will become only way of keeping blackmoney in India

[madhav007]

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

Bitcoin is not a physical currency. Its virtual & anyone can buy it but for that purchaser has to provide his bank details so those who had invested in Bitcoins from India for converting their Black Money, they all will be charged for their this transaction.
now a days Indian Government wants to close black money hoarders & by this big transaction, they all will be charge because they couldn't confirm why they had purchased these much of Bitcoins except they have settled their business or products by accepting or they r dealing with Bitcoins already.
in my opinion, they who had invested in Bitcoins by their black money will effect Bitcoins reputation in India when the Government find that they have converted their black money in to Bitcoins. Otherwise, as Indian Governments vision to make cashless or digital India definitely Bitcoins future was bright in India.
cash crisis can't be solved by purchasing Bitcoins because when the bank doesn't have enough cash to fulfill daily requirement then how they who had invested in Bitcoins can get the benefit of it. Even when Bitcoins will be en cash in the bank account they have to prove how they got that money from outside of India because almost all the bank accounts r linked with Income Tax department.
even if media can get this news about Bitcoins & we read it, Government officials also came to this conclusion & will target them who purchased & how much because its a transparent deal.
so it became useless to invest in Bitcoins on this higher price who bought them in India.       

[Yutikas_11920]

The current demonetization by Government had rendered black money lying in cash useless and people are finding ways to keep their money untraceable in digital form.What best option available for this than bitcoin.I predict more bitcoin price hike as now btc will become only way of keeping blackmoney in India

I do not know for sure about the problems that are happening in india. But I know that if the people of india is still lacking of bitcoin because most are still very little is understood about the internet. This will only happen if we have a place to provide learning by all the people that are in it. After that then I'm sure what the father wanted insyallah will do and something the desire

[iamnotback]

Ah yes I was thinking it was 500 ounces.
500 grams is much less, but I still doubt the average person owns $20,000 worth of gold.
This will still only have an effect on the very wealthy. Some might buy some Bitcoin, but I assume most are going to hide money in offshore accounts and companies outside their country.

The intended effect is that it will be impractical to use gold as form of tax avoiding cash. You can bury gold in the ground and never use it, because that it no threat at all to the government's desire to tax everything that moves. Have fun eating your gold or watching it sit there useless in the ground while the economic opportunities move on without you.

The elite are moving the tangible economy to electronic currency that is tracked for taxes.

They will use the poor as a weapon against the middle class. The poor will avidly support increased taxation because the government will promise them free things. In India, the government is recently offering a basic level of free food and medical care system support to the indigent. This is a big deal because in the past 1/3 of Indians only ate once a day.

The poor see these increased taxation as ending corruption and funding the support for the poor. They don't realize it is the laying the seeds for tax slavery.

But we in the crypto-currency currency arena can offer the poor a better deal than what the government can give them. We can offer them a job in the virtual economy where they can become independently a middle class person. And then they will hate taxes.

I am working on this now. Steem(it) was the first (failed) example. We can onboard the billions into crypto-currency by giving them currency when they do work on a social network. We can change the economy of the world.

Tinfoil hats are doing nothing. They are stuck in an unimaginative old world fight over tangible resources. Iron used to be a precious metal. Everyone needs to understand we live in an age of surplus and we are moving to a Knowledge Age:

You will probably need a week or two of studying the thread slowly.

I will be the first to admit I needed a week to fully absorb the following works of AnonyMint.

The Rise of Knowledge <--- READ THIS
Understand Everything Fundamentally

Together these are quite simply the most insightful piece of economic theory I have ever read.

If the author is right and I think he is we are all in the midst of a tragedy of epic proportions.  It is sad unstoppable and will devastate the lives of much of humanity.

...

[btcdiggingmaster]

I came to see many news regarding this cash crisis in India but it is going to take much longer to settle, right now price is very high because people don't have money in their hands, they need to take from atm machines. Even though they are getting very less amount, in this case obviously the price of bitcoin really increases.

More over the buying demand of bitcoins more in India so only the price of bitcoin is keep tickling. May it will reach to 1000$ also because these cash crisis.

[aso118]

I countries where there is huge inflation, bitcoin can be a good store of value. I think that is the situation in some countries in South American as well. As long as you have a way to transfer the fiat currency to bitcoin,it can be a good alternative.

Nobody is looking to Bitcoin as a hedge against inflation in India. Only in countries where there is hyperinflation could bitcoin play such a role. The problem in India is the cash crunch. My view is that it is a temporary situation.

[btvGainer]

That is an over inflated amount that these people are paying and no wonder some of them have resorted to buying them on the black market for cheaper rates. That is just insane! Isn't that more than what China is paying per coin?

Most people with lots of black money are buying bitcoin to dispose off with their black money for the fear of Government's action.I don't think they have any problem paying high rates

[1Referee]

That is an over inflated amount that these people are paying and no wonder some of them have resorted to buying them on the black market for cheaper rates. That is just insane! Isn't that more than what China is paying per coin?

Most people with lots of black money are buying bitcoin to dispose off with their black money for the fear of Government's action.I don't think they have any problem paying high rates

Bitcoin could serve very well for that purpose, but if you're looking at the wealthiest people with the largest amounts of black money, then they have other ways of getting the black money hidden and/or cleaned. It will indeed cost them a decent premium to have done all this, but it's much better than having the government take a bite out of your money every year. Then you also have the penalties that people are facing for hiding their money. It's beyond insane that people have to go through all this with money that they have been working for their entire life.

[Yaupgitda]

That is an over inflated amount that these people are paying and no wonder some of them have resorted to buying them on the black market for cheaper rates. That is just insane! Isn't that more than what China is paying per coin?

Most people with lots of black money are buying bitcoin to dispose off with their black money for the fear of Government's action.I don't think they have any problem paying high rates

Bitcoin could serve very well for that purpose, but if you're looking at the wealthiest people with the largest amounts of black money, then they have other ways of getting the black money hidden and/or cleaned. It will indeed cost them a decent premium to have done all this, but it's much better than having the government take a bite out of your money every year. Then you also have the penalties that people are facing for hiding their money. It's beyond insane that people have to go through all this with money that they have been working for their entire life.

If those guys are in India, they might be in trouble now.

[GreenLighter]

India is an enormous market, it can start moving things if they want to

[btvGainer]

That is an over inflated amount that these people are paying and no wonder some of them have resorted to buying them on the black market for cheaper rates. That is just insane! Isn't that more than what China is paying per coin?

Most people with lots of black money are buying bitcoin to dispose off with their black money for the fear of Government's action.I don't think they have any problem paying high rates

Bitcoin could serve very well for that purpose, but if you're looking at the wealthiest people with the largest amounts of black money, then they have other ways of getting the black money hidden and/or cleaned. It will indeed cost them a decent premium to have done all this, but it's much better than having the government take a bite out of your money every year. Then you also have the penalties that people are facing for hiding their money. It's beyond insane that people have to go through all this with money that they have been working for their entire life.

If those guys are in India, they might be in trouble now.

Yes the question is how would they pay to buy bitcoin? do Indian exchanges accepting banned 500 and 1000 rs bills? They must keep the records of their users so people converting their black money in bitcoin will eventually got caught

[john2231]

That is an over inflated amount that these people are paying and no wonder some of them have resorted to buying them on the black market for cheaper rates. That is just insane! Isn't that more than what China is paying per coin?

Most people with lots of black money are buying bitcoin to dispose off with their black money for the fear of Government's action.I don't think they have any problem paying high rates

Bitcoin could serve very well for that purpose, but if you're looking at the wealthiest people with the largest amounts of black money, then they have other ways of getting the black money hidden and/or cleaned. It will indeed cost them a decent premium to have done all this, but it's much better than having the government take a bite out of your money every year. Then you also have the penalties that people are facing for hiding their money. It's beyond insane that people have to go through all this with money that they have been working for their entire life.

If those guys are in India, they might be in trouble now.

Yes the question is how would they pay to buy bitcoin? do Indian exchanges accepting banned 500 and 1000 rs bills? They must keep the records of their users so people converting their black money in bitcoin will eventually got caught

Oh? i really dont know this news so you mean they are arresting someone in indian who are buying bitcoin with black money.. ? what you mean about black money? i dont understand well this is a crisis in india that is why some india people here are scamming with bitcoin because i think they want to stop using bitcoin right now like letyouearn..

[Juggy777]

That is an over inflated amount that these people are paying and no wonder some of them have resorted to buying them on the black market for cheaper rates. That is just insane! Isn't that more than what China is paying per coin?

Most people with lots of black money are buying bitcoin to dispose off with their black money for the fear of Government's action.I don't think they have any problem paying high rates

Bitcoin could serve very well for that purpose, but if you're looking at the wealthiest people with the largest amounts of black money, then they have other ways of getting the black money hidden and/or cleaned. It will indeed cost them a decent premium to have done all this, but it's much better than having the government take a bite out of your money every year. Then you also have the penalties that people are facing for hiding their money. It's beyond insane that people have to go through all this with money that they have been working for their entire life.

If those guys are in India, they might be in trouble now.

Yes the question is how would they pay to buy bitcoin? do Indian exchanges accepting banned 500 and 1000 rs bills? They must keep the records of their users so people converting their black money in bitcoin will eventually got caught

Oh? i really dont know this news so you mean they are arresting someone in indian who are buying bitcoin with black money.. ? what you mean about black money? i dont understand well this is a crisis in india that is why some india people here are scamming with bitcoin because i think they want to stop using bitcoin right now like letyouearn..

This whole thing about rich people dumping money In Bitcoin sees really a good ploy by the Bitcoin exchange guys in India to pump up the prices. I visited few of the Indian exchanges, and it is clear they need documents to buy, so let's say they dumped their money but they left a paper trail. I don't think the so called rich people are so dumb also. It's a bubble that will soon lower down and it will come to light while Bitcoin was shown in bad light people made other ways. Time will only say what really happened.

[deadsilent]

What?! Thats really huge difference between our current price. I think its because of demand of bitcoin there. The cash i think there is failing so in able not to lose everything, they spend it for bitcoin. As of now, we are at $790+ and still rising. India is struggling with their currency. Thats why bitcoin price is sky rocket there.

[Chin Cheng]

Does the Indian exchanges allow others to sell their coins and if so what are the exchanges that still provide these sort of rates.Is it true that we have to fill in our documentation before proceeding.

[Denker]

Does the Indian exchanges allow others to sell their coins and if so what are the exchanges that still provide these sort of rates.Is it true that we have to fill in our documentation before proceeding.

No as far as I know foreigners can not use their exchanges.
You will have register and identify.Therefore they will know you are not indian.
Would be awesome if we could just sell our coins there right?!

[gkv9]

Does the Indian exchanges allow others to sell their coins and if so what are the exchanges that still provide these sort of rates.Is it true that we have to fill in our documentation before proceeding.

I am from India, and if you are asking about exchanges and only if you are from India, then yes, you need to follow certain KYC norms and provide your documentation before you move ahead exchanging with them... The rates here are high just because people are converting their "black money" into bitcoins just because of demonetization, and that's the only reason we are getting such rates... But due to this, many international exchanges have now stopped letting Indians buy through their exchanges at current market rates...

[Sniper44]

Does the Indian exchanges allow others to sell their coins and if so what are the exchanges that still provide these sort of rates.Is it true that we have to fill in our documentation before proceeding.

I am from India, and if you are asking about exchanges and only if you are from India, then yes, you need to follow certain KYC norms and provide your documentation before you move ahead exchanging with them... The rates here are high just because people are converting their "black money" into bitcoins just because of demonetization, and that's the only reason we are getting such rates... But due to this, many international exchanges have now stopped letting Indians buy through their exchanges at current market rates...

what if you use alternative ways of money payment. such as paying through some of the other payment processors like perfect money and do your purchases on btc-e?

[Weatherby]

Does the Indian exchanges allow others to sell their coins and if so what are the exchanges that still provide these sort of rates.Is it true that we have to fill in our documentation before proceeding.

I am from India, and if you are asking about exchanges and only if you are from India, then yes, you need to follow certain KYC norms and provide your documentation before you move ahead exchanging with them... The rates here are high just because people are converting their "black money" into bitcoins just because of demonetization, and that's the only reason we are getting such rates... But due to this, many international exchanges have now stopped letting Indians buy through their exchanges at current market rates...

If you are providing your documentation then you are leaving a trail and how come you could convert your black money by providing all the detailed information and still say that you have exchanged your coins and that is the one doubt i have in my mind after hearing all these.

[SvenBomvolen]

I am from India, and if you are asking about exchanges and only if you are from India, then yes, you need to follow certain KYC norms and provide your documentation before you move ahead exchanging with them... The rates here are high just because people are converting their "black money" into bitcoins just because of demonetization, and that's the only reason we are getting such rates... But due to this, many international exchanges have now stopped letting Indians buy through their exchanges at current market rates...

   People are converting "black money", do you mean money obtained on illegal way? I dont think its nice to punish all the people cause of that. I doubt that all Indians are criminals, that is very ugly opinion.
   Exchanges are making huge profit if they sell bitcoin for 900 dollars. They are robbing people, can Indians bypass restrictions and to buy bitcoins in some other way?
  

[Pursuer]

this is what real demand looks like.
when it happens, price of bitcoin can easily go to the moon. and I'd say if a couple of other countries start showing even one third of Indian enthusiasm in buying bitcoin, price can easily go to $2000 in a couple of months. and that would be the mass adoption that we are all waiting for and sometimes talk about.

[Sithara007]

India is an enormous market, it can start moving things if they want to

There is no doubt that the Indian Bitcoin market is very promising. But if you are an outsider, then you will be frustrated with all the red tape and corruption. For example, you need to run from pillar to post to obtain a license, so that you can legally run a Bitcoin-related business. Now for obtaining this license, you need to have the right contacts, and you need to bribe the right persons.

[btcdevil]

this is what real demand looks like.
when it happens, price of bitcoin can easily go to the moon. and I'd say if a couple of other countries start showing even one third of Indian enthusiasm in buying bitcoin, price can easily go to $2000 in a couple of months. and that would be the mass adoption that we are all waiting for and sometimes talk about.

I dont agree with you, this was not enthusiasm in buying bitcoin, but it was done purposely to convert the black money to bitcoin, and it is not good for bitcoin community , if you see the price it was temporary and now the price is back to normal price, but the impact will be bad that bitcoin is used in black money.

It should be in good name of using bitcoin. That price hike was fake created by the black market for doing wrong work

[iram3130]

I don't think there is any exchange in India who take currency physically and sell bitcoins. So the using 500 and 1000 rs notes are not possible. But I do agree that there is a way to convert you black money to bitcoins, but it is very difficult coz as I have seen the trading websites will ask for some user authenticity. 

[QuestionAuthority]

Does the Indian exchanges allow others to sell their coins and if so what are the exchanges that still provide these sort of rates.Is it true that we have to fill in our documentation before proceeding.

I am from India, and if you are asking about exchanges and only if you are from India, then yes, you need to follow certain KYC norms and provide your documentation before you move ahead exchanging with them... The rates here are high just because people are converting their "black money" into bitcoins just because of demonetization, and that's the only reason we are getting such rates... But due to this, many international exchanges have now stopped letting Indians buy through their exchanges at current market rates...

That's fascinating. What are the black market goods Indian people are interested in that creates so much profit? Is it guns, drugs or some other type of contraband?

Are the Indians spending the converted cash on something or are they just holding the btc? How exactly are they buying the coin? You claim that "Know Your Customer" laws apply in India but surly Indian black marketeers aren't stupid enough to launder money by releasing personal information?

[Yaupgitda]

Does the Indian exchanges allow others to sell their coins and if so what are the exchanges that still provide these sort of rates.Is it true that we have to fill in our documentation before proceeding.

I am from India, and if you are asking about exchanges and only if you are from India, then yes, you need to follow certain KYC norms and provide your documentation before you move ahead exchanging with them... The rates here are high just because people are converting their "black money" into bitcoins just because of demonetization, and that's the only reason we are getting such rates... But due to this, many international exchanges have now stopped letting Indians buy through their exchanges at current market rates...

That's fascinating. What are the black market goods Indian people are interested in that creates so much profit? Is it guns, drugs or some other type of contraband?

Are the Indians spending the converted cash on something or are they just holding the btc? How exactly are they buying the coin? You claim that "Know Your Customer" laws apply in India but surly Indian black marketeers aren't stupid enough to launder money by releasing personal information?

I think they are holding.

[rapta]

I believe this is an opportunity for bitcoin and other crypto-currency.  It can easily showcase how useful they are for micro-transactions.  The paper money / coinage method of payment seems so old-world these days.

[Hydrogen]

Evidence of bitcoin being more stable than state regulated currency?

[Yaupgitda]

Evidence of bitcoin being more stable than state regulated currency?

At least the amount of bitcoins is fixed.

[Capradina]

India is an enormous market, it can start moving things if they want to

Yup, indeed india is a country with a market that is quite promising. However I'm not convinced 100% that bitcoin has huge influence in india, because I also have never seen miners in india. I am more attracted to China, because there already exist several places used to mine and it gives a pretty good color in the bitcoin growth in the country. For now it will be very hard to find goods sold for bitcoin payments accept bitcoin is still not understood by most people

[ASHLIUSZ]

It happened during the month of November past year. When the Market was found to pay around $750 Indian trading was found above $900. This happened just due to the demonetisation issue created by the government. Due to this Indian market experienced a very big increase in user profiles in a short time period.

[bryant.coleman]

Evidence of bitcoin being more stable than state regulated currency?

Nope. If you look at the INR vs USD exchange rate, it is very stable. The USD is always worth around 66 to 68 INR. On the other hand, the Bitcoin is extremely volatile. During the past 12 months, the value has risen by as much as 400%. And during the 12 month period prior to that, the exchange rate had declined by more than 50%.

[Yaupgitda]

Evidence of bitcoin being more stable than state regulated currency?

Nope. If you look at the INR vs USD exchange rate, it is very stable. The USD is always worth around 66 to 68 INR. On the other hand, the Bitcoin is extremely volatile. During the past 12 months, the value has risen by as much as 400%. And during the 12 month period prior to that, the exchange rate had declined by more than 50%.

When the bitcoin becomes more expensive, it will also be more stable.

[Xester]

It happened during the month of November past year. When the Market was found to pay around $750 Indian trading was found above $900. This happened just due to the demonetisation issue created by the government. Due to this Indian market experienced a very big increase in user profiles in a short time period.

The reason why India is purchasing more bitcoins not only because of demonetisation but also because of bitcoins power to make its investors, holders and users gain a leverage in a span of time. Bitcoins price movement is always increasing in value and that has attracted a large Market in India as well as the hope that they will gain huge profit when the price has increased greatly.

[Betwrong]

India is Paying $900+ for Bitcoin Amid Cash Crisis

https://news.bitcoin.com/india-paying-900-bitcoin-cash-crisis/

What do you think about this?

It's funny that people who were buying for $900+ back then in India are now in profit. What I've noticed about Bitcoin is that whatever price you pay for it you'll hardly ever regret the buying.

[bravehearth0319]

If we are going to see and check what their doing is not affecting bitcoin actually, instead Bitcoin is continue in progress to increase the price value. It s show that the stability of it are getting stronger.