Question:
Read the following passage and answer the question
Crypto assets, including private crypto currencies and non-fungible tokens, pose a unique challenge to regulators with their issuance as well as the transactions taking place beyond traditional channels involving banks, other financial intermediaries or central banks. With users able to transact on platforms located in other countries and transfer funds easily across borders, ability to tax these transactions and to halt the misuse of these channels for illicit purposes also becomes difficult through unilateral action. Therefore, India and some other countries have been calling for concerted action by all nations and a standardised regulatory framework to regulate these assets. The Crypto-Asset Reporting Framework (CARF), drafted by the OECD, is in response to this. It primarily seeks to enable exchange of information between countries so https://link.testbook.com/bQQ2EkH1bpb https://link.testbook.com/bQQ2EkH1bpb Page- 5 that all crypto asset related transactions or money transfer done by the residents of a country are available with the government and regulators. Indian regulators were extremely concerned about the surge in trading in crypto assets during the pandemic; about 9 to 11 crore users were estimated to be indulging in speculative trading in these assets. But the Centre’s move to tax gains made in trading crypto assets at punitively high rate in the Union Budget of 2022 and mandating crypto trading platforms to deduct TDS of 1 per cent on sale of these assets have helped restrain this speculative fervour effectively. Trading volume on Indian crypto trading platforms is down over 75 per cent over the last one year. But India, as well as other countries are yet to decide whether holding and trading in crypto assets is a legal activity or not. Also, it is currently not possible to acquire information regarding crypto trading transactions by Indian residents on overseas platforms. The CARF regulation outlines a way in which information can be collected from crypto asset trading platforms and service providers and shared with the countries where the traders or users reside. The framework addresses four areas – one, the scope of crypto currencies covered by the rules, two, the entities and individuals mandated to collect the data and the reporting requirement, three, the kind of transactions which have to be reported and four, the due diligence needed to identify the crypto asset users and to identify the tax jurisdiction to which they belong so that information can be exchanged. The model rules contained in the CARF can be included in the domestic laws and the OECD is planning to work with all jurisdictions over the coming months to implement the framework. The OECD has met decent success with the Common Reporting Standard which has resulted in over 100 countries exchanging information regarding 111 million financial accounts in 2021, helping check tax evasion. Replicating this with crypto transactions may be the way forward to bring all countries onboard in adopting similar rules for regulating crypto assets. Though regulatory scrutiny could result in reducing the speculative activity in this segment, users will be pleased as adoption of these rules will make trading and use of crypto assets a legal activity. This will ensure that those who wish to mine and trade in these assets can continue doing so, but under full regulatory glare.
The fundamental requirement for crypto currency regulation is………………………….
Read the following passage and answer the question
Crypto assets, including private crypto currencies and non-fungible tokens, pose a unique challenge to regulators with their issuance as well as the transactions taking place beyond traditional channels involving banks, other financial intermediaries or central banks. With users able to transact on platforms located in other countries and transfer funds easily across borders, ability to tax these transactions and to halt the misuse of these channels for illicit purposes also becomes difficult through unilateral action. Therefore, India and some other countries have been calling for concerted action by all nations and a standardised regulatory framework to regulate these assets. The Crypto-Asset Reporting Framework (CARF), drafted by the OECD, is in response to this. It primarily seeks to enable exchange of information between countries so https://link.testbook.com/bQQ2EkH1bpb https://link.testbook.com/bQQ2EkH1bpb Page- 5 that all crypto asset related transactions or money transfer done by the residents of a country are available with the government and regulators. Indian regulators were extremely concerned about the surge in trading in crypto assets during the pandemic; about 9 to 11 crore users were estimated to be indulging in speculative trading in these assets. But the Centre’s move to tax gains made in trading crypto assets at punitively high rate in the Union Budget of 2022 and mandating crypto trading platforms to deduct TDS of 1 per cent on sale of these assets have helped restrain this speculative fervour effectively. Trading volume on Indian crypto trading platforms is down over 75 per cent over the last one year. But India, as well as other countries are yet to decide whether holding and trading in crypto assets is a legal activity or not. Also, it is currently not possible to acquire information regarding crypto trading transactions by Indian residents on overseas platforms. The CARF regulation outlines a way in which information can be collected from crypto asset trading platforms and service providers and shared with the countries where the traders or users reside. The framework addresses four areas – one, the scope of crypto currencies covered by the rules, two, the entities and individuals mandated to collect the data and the reporting requirement, three, the kind of transactions which have to be reported and four, the due diligence needed to identify the crypto asset users and to identify the tax jurisdiction to which they belong so that information can be exchanged. The model rules contained in the CARF can be included in the domestic laws and the OECD is planning to work with all jurisdictions over the coming months to implement the framework. The OECD has met decent success with the Common Reporting Standard which has resulted in over 100 countries exchanging information regarding 111 million financial accounts in 2021, helping check tax evasion. Replicating this with crypto transactions may be the way forward to bring all countries onboard in adopting similar rules for regulating crypto assets. Though regulatory scrutiny could result in reducing the speculative activity in this segment, users will be pleased as adoption of these rules will make trading and use of crypto assets a legal activity. This will ensure that those who wish to mine and trade in these assets can continue doing so, but under full regulatory glare.
The fundamental requirement for crypto currency regulation is………………………….
Crypto assets, including private crypto currencies and non-fungible tokens, pose a unique challenge to regulators with their issuance as well as the transactions taking place beyond traditional channels involving banks, other financial intermediaries or central banks. With users able to transact on platforms located in other countries and transfer funds easily across borders, ability to tax these transactions and to halt the misuse of these channels for illicit purposes also becomes difficult through unilateral action. Therefore, India and some other countries have been calling for concerted action by all nations and a standardised regulatory framework to regulate these assets. The Crypto-Asset Reporting Framework (CARF), drafted by the OECD, is in response to this. It primarily seeks to enable exchange of information between countries so https://link.testbook.com/bQQ2EkH1bpb https://link.testbook.com/bQQ2EkH1bpb Page- 5 that all crypto asset related transactions or money transfer done by the residents of a country are available with the government and regulators. Indian regulators were extremely concerned about the surge in trading in crypto assets during the pandemic; about 9 to 11 crore users were estimated to be indulging in speculative trading in these assets. But the Centre’s move to tax gains made in trading crypto assets at punitively high rate in the Union Budget of 2022 and mandating crypto trading platforms to deduct TDS of 1 per cent on sale of these assets have helped restrain this speculative fervour effectively. Trading volume on Indian crypto trading platforms is down over 75 per cent over the last one year. But India, as well as other countries are yet to decide whether holding and trading in crypto assets is a legal activity or not. Also, it is currently not possible to acquire information regarding crypto trading transactions by Indian residents on overseas platforms. The CARF regulation outlines a way in which information can be collected from crypto asset trading platforms and service providers and shared with the countries where the traders or users reside. The framework addresses four areas – one, the scope of crypto currencies covered by the rules, two, the entities and individuals mandated to collect the data and the reporting requirement, three, the kind of transactions which have to be reported and four, the due diligence needed to identify the crypto asset users and to identify the tax jurisdiction to which they belong so that information can be exchanged. The model rules contained in the CARF can be included in the domestic laws and the OECD is planning to work with all jurisdictions over the coming months to implement the framework. The OECD has met decent success with the Common Reporting Standard which has resulted in over 100 countries exchanging information regarding 111 million financial accounts in 2021, helping check tax evasion. Replicating this with crypto transactions may be the way forward to bring all countries onboard in adopting similar rules for regulating crypto assets. Though regulatory scrutiny could result in reducing the speculative activity in this segment, users will be pleased as adoption of these rules will make trading and use of crypto assets a legal activity. This will ensure that those who wish to mine and trade in these assets can continue doing so, but under full regulatory glare.
The fundamental requirement for crypto currency regulation is………………………….
Updated On: Oct 15, 2024
- Monitoring
- Data exchange between the countries
- Effective international policing
- None of the above
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The Correct Option is B
Solution and Explanation
The correct option is (B): Data exchange between the countries
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Top Questions on Reading Comprehension
- Read the excerpt from a Handicrafts Manual: ‘Advanced Knitting Techniques’ and answer the following questions by choosing the most appropriate answer.
THE FAIR ISLE METHOD: Fair Isle knitting is a traditional technique that involves using two or more colours of yarn in a single row to create intricate patterns and designs. This method requires careful tension management to ensure even stitches and prevent puckering. To begin, select your colours and cast on the desired number of stitches. As you knit, alternate between colours every few stitches, carrying the unused yarn along the back of the work. Mastering the Fair Isle technique allows you to create stunning visual effects in garments, accessories, and home textiles.
THE CONTINENTAL STYLE: The Continental knitting style, often referred to as “picking,” involves holding the yarn in the left hand while the right hand manipulates the needles. This method allows for greater speed and efficiency, particularly when working with complex patterns or multiple colours. To practice this style, start by casting on your stitches and using your left hand to tension the yarn. With each stitch, simply “pick” the yarn with your right needle, forming a quick and fluid motion. As you become comfortable with this technique, you may find that your overall knitting speed and comfort improve significantly.
THE SHORT-ROW TECHNIQUE: Short-row knitting is an advanced technique that allows for the creation of shaped garments, such as sleeves and shoulders, without the need for complex shaping. To make a sleeve using this technique, begin by casting on the required number of stitches. Work a portion of the row, then turn your work and return without completing the full row to create the “short rows” that shape the curves of the sleeve. To prevent holes at the turn, wrap the stitch before you turn your work. Repeat this process as needed to achieve the desired shaping and dimension of the sleeve. Once you have shaped the sleeve, you can then sew the side seams to connect the pieces of your garment and finally, complete the edges to ensure a clean finish. This method not only helps shape curves but also adds dimension to your piece, allowing you to enhance fit and style.- AILET BALLB (Hons.) - 2025
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The Story of Coffee
Coffee, a beloved beverage enjoyed by millions around the globe, has a rich and captivating history that spans centuries. The story of coffee begins in the ancient highlands of Ethiopia, where, according to legend, a goat herder named Kaldi discovered the stimulating effects of coffee beans. One day, Kaldi noticed his goats frolicking with unusual energy after eating red berries from a certain tree. Curious, he tried the berries himself and experienced a newfound alertness. This discovery soon spread to monasteries, where monks used it to stay awake during long hours of prayer. From Ethiopia, coffee cultivation and consumption spread to the Arabian Peninsula, particularly in Yemen, where the practice of roasting coffee beans and brewing the drink began to take shape. By the 15th century, coffee had become a popular beverage in the Islamic world, with coffee houses known as ‘qahveh khaneh’ emerging as social hubs for conversation, music, and intellectual exchange. These coffee houses became centers of culture and commerce, influencing the spread of coffee to Turkey and beyond, eventually reaching Europe. In Europe, coffee initially faced resistance from religious authorities who considered it a ‘Muslim drink’ and tried to ban it. However, its popularity persisted, and by the 17th century, coffee houses had sprung up in major European cities, becoming important gathering places for artists, writers, and thinkers. The stimulating effects of coffee were embraced during the Age of Enlightenment, where it was seen as a catalyst for intellectual discussion and innovation. The journey of coffee continued with the establishment of colonial plantations in tropical regions such as the Caribbean, Central and South America, and Southeast Asia. These plantations fuelled the global demand for coffee, transforming it from a regional specialty to a major commodity. The industrial revolution further accelerated coffee production and consumption, leading to innovations in coffee brewing methods and the development of instant coffee. In the modern era, coffee has evolved into a deeply ingrained part of daily life for people worldwide. Its cultural significance spans from the bustling cafes of Paris to the quiet coffee farms of Colombia. Today, coffee remains not only a popular beverage but also a symbol of social interaction, productivity, and enjoyment. Whether sipped slowly over a conversation with friends or grabbed hastily on the way to work, the story of coffee continues to unfold, intertwining with the histories and cultures of countless societies across the globe.- AILET BALLB (Hons.) - 2025
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The intricate world of modern manufacturing is a web of precision and innovation, where even the tiniest components play a pivotal role. One such element, often overlooked but crucial, is the sub-subpart. Whether it’s a carpenter fashioning a bespoke piece of furniture or an automobile engineer designing the next generation of vehicles, the creation of sub-subparts is a fundamental process that demands meticulous craftsmanship and cutting-edge technology. In the realm of woodworking, carpenters frequently work with sub-subparts like dowels, screws, and hinges. These minute components may appear insignificant, yet they determine the structural integrity and functionality of the final product. Crafting a dowel, for instance, begins with selecting the appropriate wood species, followed by precision cutting and shaping. The result is a perfectly cylindrical, sturdy sub-subpart that seamlessly joins two larger pieces of wood. The advent of computer-aided design (CAD) and computer numerical control (CNC) machines has revolutionised this process, enabling carpenters to create sub-subparts with unparalleled precision.
Similarly, in the automobile industry, sub-subparts are the unsung heroes of vehicle construction. Take, for instance, the ball bearing—a minuscule but essential component in the wheels and transmission system. Manufacturing these precision-engineered spheres involves intricate processes like forging, heat treatment, and precision machining. Modern techniques such as laser cutting and 3D printing have streamlined production, ensuring that these sub-subparts meet the demanding standards of the automotive sector. The manufacturing of sub-subparts is a testament to the convergence of traditional craftsmanship and cutting-edge technology. Whether it’s a carpenter’s workshop or a high-tech automotive assembly line, the quest for perfection in sub-subpart creation remains unwavering. The attention to detail and precision required in these processes is a testament to the dedication of craftsmen and engineers alike.
To conclude, while sub-subparts may be small in size, their significance in various industries cannot be overstated. Whether it’s a carpenter working on a timeless piece of furniture or an automotive engineer striving for superior performance, the manufacturing of sub-subparts is a crucial step towards achieving excellence in craftsmanship and technology. This fusion of tradition and innovation accentuates the essence of modern manufacturing.- AILET BALLB (Hons.) - 2025
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