In an attempt to help users circumvent TDS (Tax Deducted at Source) costs and invest long-term, Crypto exchange Bitbns on July 12 launched the Zero TDS mechanism on its SIP investments in cryptocurrency.
Bitdroplet is a platform by Bitbns that will bear the TDS for SIP investments redeemed after 12 months. Also, there is no minimum tenure for redemption.
The platform claims to have pioneered crypto SIP in India, with an active folio worth over 200,000. The exchange also introduced 19 new tokens on its SIP platform, delivering investors greater flexibility in their SIP investments.
“Crypto SIP is similar to regular SIP in mutual funds, allowing one to invest a fixed amount in crypto at regular intervals. Investors can avail themselves of daily, weekly, or monthly installments based on one's investment appetite. The SIP route enables investments as low as Rs. 75 while automating and scheduling regular purchases of popular crypto-assets such as Bitcoin and Ethereum, among others,” the company explained.
Gaurav Dahake, Founder & CEO, of Bitbns said, “Bitbns strongly believes in innovating and building new lucrative product opportunities for its investors, and we are delighted to introduce TDS-free SIP plans for our customers. We believe it is a great time for investors to avail the 'Buy at Dip' strategy and thereby maximize their profits.
"Our TDS-free SIP plans will encourage investors to avail the benefits of an efficient wealth creation model while evading the burden of TDS. In addition to risk mitigation, it will also aid in portfolio diversification and reinvestment of returns, to leverage the power of compounding and generate attractive yields through long-term lock-in of investments.”
This comes at a time when top crypto exchanges including Bitbns have already lost nearly 75 per cent of their trading volumes over the past six months as of June. This has only got worse once the TDS of 1% on all crypto transactions came into being from July 1.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
