Cryptos as payment option will be the future.
Under the crypto investment plan, investors will be able to invest a fixed amount in cryptos at regular intervals
CoinDCX, India’s first crypto exchange unicorn start-up, on Thursday said it has launched a crypto investment plan (CIP) under which investors will be able to invest a fixed amount in cryptocurrencies at regular intervals.
With this feature, the investors will not have to stress about timing the market and can invest for the long term to better manage market volatilities and enjoy the compounding effect of wealth over time, the company said in a statement.
“Crypto investment plan (CIP) serves as an ideal channel for crypto investors who are looking to enhance their investment journey through disciplined investing, allowing them to invest in accordance with their risk appetite,” the statement added.
It also said that CIP, which is designed to provide a disciplined approach in investing, offers investment instalments on a weekly basis where investors can invest a fixed amount every week.
This enables users to benefit from the rupee cost averaging, lowering market volatility risks over time and countering the volatile nature of crypto. The customers benefit from compounded returns, enabling them to build their digital wealth on a long term basis.
CoinDCX CEO and co-founder Sumit Gupta said, “As we continue to strengthen the user journey, the launch of CIP will make the investment in crypto even more accessible, enabling more people to enjoy the rewards from the future of finance.”
The crypto investment plan is like the systematic investment plan, under which investors buy mutual fund units at regular intervals.
In the Budget Speech 2022, Finance Minister Nirmala Sitharaman said India will levy a steep tax at a flat rate of 30 per cent on virtual assets, including cryptocurrency and non-fungible tokens (NFTs).
The Budget 2022 also proposed the provision of tax deducted at source at one per cent levied on payments made of transfer of virtual assets.
The Budget proposed to introduce a new Section 115BBH to levy income tax on cryptocurrencies and other virtual assets. “Accordingly, for the taxation of virtual digital assets, I propose to provide that any income from transfer of any virtual digital asset shall be taxed at the rate of 30 per cent,” the finance minister said while presenting the Budget 2022.
“The proposed section 115BBH seeks to provide that where the total income of an assessee includes any income from transfer of any virtual digital asset, the income tax payable shall be the aggregate of the amount of income-tax calculated on income of transfer of any virtual digital asset at the rate of 30 per cent and the amount of income-tax with which the assessee would have been chargeable had the total income of the assessee been reduced by the aggregate of the income from transfer of virtual digital asset,” according to Union Budget memorandum.
Read all the Latest Business News and Breaking News here
