Jetking, a 77-year-old Indian business with a rich history of making radios and televisions, has recently made a bold move to embrace Bitcoin. The company, which transitioned into IT education, faced challenges during the COVID-19 pandemic as its 200 centers across India struggled with dwindling business. In response, the leadership of Jetking explored various ideas to revive the company, eventually deciding to pivot towards becoming a Bitcoin-centric organization.
In an interview with Coinpedia, CFO Siddarth Bharwani shared that Jetking’s decision to hold Bitcoin as a treasury asset has not only had financial implications but has also attracted interest from a new class of investors, particularly younger and tech-savvy retail investors. The company aims to accumulate 210 Bitcoins by the end of 2025.
Despite India’s stringent 30% tax on crypto profits, Jetking has adopted a unique strategy of ‘Never Sell Bitcoin’. This approach involves holding onto Bitcoin without realizing profits, thereby avoiding taxable events. Any fluctuations in the value of Bitcoin are simply recorded as revaluation reserves in the company’s financial reports.
Addressing concerns raised by the Reserve Bank of India (RBI) regarding the potential misuse of crypto for illegal cross-border transfers, Jetking emphasizes a compliance-first approach. The company ensures that all Bitcoin purchases are made through regulated, FIU-registered exchanges and stored with institutional-grade custodians that adhere to KYC and AML checks.
As India navigates the development of formal crypto regulations, Jetking advocates for fairer laws that support government oversight while also fostering innovation in the crypto space. The company proposes a shift from the current flat 30% tax on crypto gains to a graded capital gains tax model based on the duration of holding. Additionally, Jetking calls for the allowance of carry-forward and offset of losses, similar to other financial assets, and seeks clarity or exemption from GST when using crypto purely as a treasury reserve rather than for payments or services.
Jetking’s bold move towards embracing Bitcoin showcases its commitment to innovation and adaptability in the ever-evolving business landscape. As the company continues to navigate the complexities of the crypto market, it remains hopeful for a more conducive regulatory environment that will spur growth and investment in the digital asset space.