CoinDCX, India’s first unicorn crypto exchange startup, said Thursday that it has launched a crypto investment plan (CIP) that allows investors to invest a fixed amount of money in cryptocurrencies at regular intervals.
With this feature, investors don’t have to worry about the timing of 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 conduit for crypto investors looking to enhance their investment journey through disciplined investing so that they can invest in line with their risk appetite,” the statement added.
It also said that CIP, which is designed to offer a disciplined approach to investing, offers weekly investment installments where investors can invest a fixed amount each week.
This allows users to take advantage of the average cost of the rupee, reducing market volatility risks over time and countering the volatile nature of crypto. The clients benefit from compound returns, enabling them to build their digital wealth over the long term.
CoinDCX CEO and Co-Founder Sumit Gupta said, “As we continue to amplify the user journey, the launch of CIP will make investing in crypto even more accessible, allowing more people to enjoy the benefits of the future of finance.”
The crypto investment plan is like the systematic investment plan, where investors buy mutual funds at regular intervals.
In the 2022 budget speech, Finance Minister Nirmala Sitharaman said India will impose a hefty tax at a flat rate of 30 percent on virtual assets, including cryptocurrency and non-fungible tokens (NFTs).
The 2022 budget also proposed a one percent tax deduction at source on payments made in the transfer of virtual assets.
The budget proposed to introduce a new section 115BBH to levy income tax on cryptocurrencies and other virtual assets. “Accordingly, I propose that for the taxation of virtual digital assets, all income from transfers of virtual digital assets should be taxed at the rate of 30 percent,” said the finance minister at the presentation of the 2022 budget.
“Proposed Section 115BBH seeks to provide that where a valuer’s total income includes all income from the transfer of a virtual digital asset, the income tax payable is the aggregate of the amount of income tax calculated on the income from the transfer of a virtual digital asset. digital assets at the rate of 30 percent and the amount of income tax that the appraiser would have been taxed with if the appraiser’s total income had been reduced by the total income from the transfer of virtual digital assets,” according to Union Budget Memorandum.
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