During this year’s annual budget, the Finance minister of India, Arun Jaitley did mention that the growing use of the cryptocurrency Bitcoin is indeed a matter of concern. But even so, Bitcoin or trading of other cryptocurrencies was not declared illegal in India.Following this news, Mumbai-based start-up Truebil, which deals with used cars has gone on to announce that they have now started selling used cars for cash as well as bitcoins. The start-up also declared that they see no harm in doing so and find it to be a perfectly legal mode of payment in India.
However, the start-up did say that they would not accept the Bitcoin payment directly rather through a different platform. This other platform mentioned is none other than the start-up’s partner Unocoin, a website which allows cryptocurrency trading. Customers wishing to purchase a used car will first have to transfer bitcoins as per the agreed amount on Unocoin, and Unocoin will then transfer the amount into Truebil’s bank account.Once this is done the transaction shall be termed complete.
Truebil also revealed that they would not disclose the prices of any used cars in cryptocurrency.The start-up stated that they would be implementing Unocoin’s point-of-sale applications in their stores for accepting payments in Bitcoins. This process would be carried out at their dealerships. Further making it quite clear that they would not entertain any customer who wishes to transfer cryptocurrencies directly into Truebil’s bank account.
Truebil also went on to explain how this process would work they said, for this transfer to materialize first a customer has to choose their desired vehicle, Unocoin will then provide a barcode to Truebil. The price of the selected car is then displayed on this barcode in bitcoin value. The value remains constant for a period of 30 minutes and if the customer chooses to proceed further and make the payment within in the lock-in period, the price will not change, however, if the payment exceeds the 30 minute lock-in period, the price would be as per the latest bitcoin price.
As per the announcement made on Techcircle, Shubh Bansal, co-founder, Truebil stated
“Once the customer decides to pay using a bitcoin wallet, the UnocoinPoS can be used to deduct the crypto-asset which will be changed into fiat currency and transferred to our account in 24 hours,”
It was also mentioned that Unocoin would not be charging anything to the customers or the start-up for the payment process. Both the customers as well as Truebil would get the transaction and conversion services absolutely free of cost. An unnamed law firm did however say has that the government would be keeping a close watch on these kinds of transactions. Further-more the Reserve Bank of India (RBI) has also declared a series of regulation faced towards security-related risks related to the dealing of cryptocurrencies.
It is officially a first in India where a car dealership is providing the option of dealing with used cars via Bitcoin. There are quite a few restaurants in India which announced the acceptance of Bitcoins as payments which indicates the increasing acceptance of cryptocurrencies in India. Unocoin were quick to comment on this development and said, this new arrangement would definitely prove to be a stepping stone for further acceptance of crypto-currencies in India. In the future, it would be safe to say that we could see a lot more people doing transactions with cryptocurrencies.