GK Questions

Modern crypto regulation focuses on economic substance: payment tokens, security tokens, utility tokens regulated by function. Avoids technology lock-in and adapts to innovation. Critical for policy design.

e₹-W enables instant, final settlement between banks and financial institutions, reducing counterparty risk and liquidity needs. Critical for payment system modernization and financial stability.

PMLA rules require VASPs to maintain KYC records, transaction logs, and audit trails for 5 years. Enables regulatory oversight, investigation, and compliance verification. Critical for operational requirements.

Hybrid ledger: central bank controls issuance/monetary policy, distributed nodes validate transactions. Balances sovereignty, resilience, and performance for national digital currency systems.

Programmable CBDC with embedded rules can enforce AML limits, reporting thresholds, and policy conditions automatically. Enhances compliance efficiency while requiring careful privacy design.

Liquid cooling (direct-to-chip, immersion) removes heat more efficiently than air, enabling higher server density and lower PUE. Critical for high-performance computing and sustainable data center design.

Carbon credit integrity requires: additionality proof (beyond business-as-usual), robust baseline setting, independent verification. Standards: Verra, Gold Standard ensure methodological rigor for credible offsets.

AI forecasting improves solar/wind power prediction using weather data, historical patterns, real-time sensors. Enables better grid balancing, reduced curtailment, and higher renewable penetration.

Sustainable hardware: modular design enables component upgrades; repairability standards ensure spare parts availability; software optimization reduces need for hardware replacement. Critical for circular economy.

CBAM (EU) and similar mechanisms level playing field by imposing carbon costs on imports. Encourages global climate action while protecting domestic industries. India monitoring developments for trade policy.

Methane monitoring combines: satellite (GHGSat, Sentinel), drones for targeted surveys, ground sensors for continuous monitoring. Critical for leak detection, regulatory compliance, and climate mitigation.

Lunar regolith contains ~40% oxygen by weight. Extraction methods: molten regolith electrolysis, hydrogen reduction. Enables sustainable lunar bases by producing breathable air and rocket oxidizer.

Satellite link adaptation: ACM adjusts modulation/coding based on channel quality; diversity uses multiple paths; power control compensates fading. Critical for reliable broadband service in variable weather.

Electric propulsion (ion, Hall thrusters) offers 5-10x higher specific impulse than chemical rockets, enabling longer satellite life with less propellant. Critical for GEO satellite operations and deep space missions.

CBDC design affects monetary policy: remuneration influences deposit rates, holding limits prevent bank disintermediation, interoperability affects payment system dynamics. Critical for central bank digital currency planning.

Financial Intelligence Unit-India (FIU-IND) registers and supervises VASPs for AML/CFT compliance. Requires KYC, transaction monitoring, suspicious activity reporting. Critical for crypto regulatory framework.

Privacy-preserving CBDC: ZK-proofs verify without revealing data; ring signatures obscure sender; confidential transactions hide amounts. Balance user privacy with regulatory auditability requirements.

Section 115BBH taxes crypto income at 30% on gross transfer value, no deduction for acquisition cost except cost of acquisition. No loss offset allowed. Critical for accurate crypto tax compliance.

CBDC cross-border: direct central bank-to-central bank settlement, operates 24/7, reduces correspondent layers. Critical for trade finance efficiency, remittance cost reduction, and financial inclusion.

e₹ uses permissioned distributed ledger with RBI and partner banks as nodes. Balances decentralization benefits with regulatory control, privacy, and performance requirements. Critical for CBDC architecture understanding.