Cryptocurrency is an encrypted digital currency that is processed and validated through data mining. The term has got wide popularity in recent times has it has become stronger by 400 percent of its initial value.

The process of using cryptocurrency for transaction is complex. There is no third party involved between the two who are transacting. Once a request is generated, a minor has to solve a complex problem after which the transaction is validated and kept in a public ledger. Public ledgers are like a storage bank where all the confirmed transaction are kept. The identity of the individuals is kept confidential.

Recently RBI issued guidelines to banks and Non-Banking Financial Institution (NBFI) saying that any entity dealing in Cryptocurrency should be done away with.