Question Description
Directions: Read the following passage and answer the question.In recent times, there has been a great euphoria about investing in cryptocurrencies. For any instrument to classify as a currency, it must have the following features: One, it is a promissory note wherein the issuer is promising the bearer or the holder a value. Two, it is backed by a sovereign nation and, therefore, there is never a question of any default in executing the promise. Three, the printing of currency in either physical or digital form is always based on some tangible asset, like gold or a basket of goods. From the above, its clear that cryptocurrency can never be a currency. Can crypto then be considered an asset? An asset is something that has a tangible value. Even if its immediate utility is intangible, an asset should have some tangible benefits. The cryptocurrencies being promoted currently — bitcoin, litecoin, ethereum — are nothing but gaming points. Whenever a discussion on cryptos takes place, promoters talk of blockchain technology. This technology is just a technique to account for transactions.Many frauds like multi-marketing schemes, chit funds or deposit frauds were disguised as timeshare schemes, gold and land investments, and promised hefty returns. These pyramid schemes were carried out over a long period to evade the law. Nevertheless, fraud could still be established, the trail of funds could be traced and the perpetrators identified. Crypto promoters have taken fraud to another level with little scope of their getting caught.The recent aggressive promotion of cryptocurrencies on print and visual media would perhaps prove to be the undoing of their promoters. It is only a matter of time before financial fraud prevention enforcement agencies like the CBI and ED catch up with them. But millions may lose their hard-earned money by then.[Extracted with edits and revisions, from Opinion, The Indian Express]Q.What function does the statement An asset is something that has a tangible value serve within the passage?a)It contradicts the authors assertion that intangible assets can also possess utility.b)It reinforces the authors assertion that currencies can exist in either physical or digital forms.c)It constitutes a foundational point for the authors conclusion that cryptocurrencies are not assets. (Correct Answer)d)It reinforces the authors argument that cryptocurrency can never qualify as a currency.Correct answer is option 'C'. Can you explain this answer? for CLAT 2025 is part of CLAT preparation. The Question and answers have been prepared according to the CLAT exam syllabus. Information about Directions: Read the following passage and answer the question.In recent times, there has been a great euphoria about investing in cryptocurrencies. For any instrument to classify as a currency, it must have the following features: One, it is a promissory note wherein the issuer is promising the bearer or the holder a value. Two, it is backed by a sovereign nation and, therefore, there is never a question of any default in executing the promise. Three, the printing of currency in either physical or digital form is always based on some tangible asset, like gold or a basket of goods. From the above, its clear that cryptocurrency can never be a currency. Can crypto then be considered an asset? An asset is something that has a tangible value. Even if its immediate utility is intangible, an asset should have some tangible benefits. The cryptocurrencies being promoted currently — bitcoin, litecoin, ethereum — are nothing but gaming points. Whenever a discussion on cryptos takes place, promoters talk of blockchain technology. This technology is just a technique to account for transactions.Many frauds like multi-marketing schemes, chit funds or deposit frauds were disguised as timeshare schemes, gold and land investments, and promised hefty returns. These pyramid schemes were carried out over a long period to evade the law. Nevertheless, fraud could still be established, the trail of funds could be traced and the perpetrators identified. Crypto promoters have taken fraud to another level with little scope of their getting caught.The recent aggressive promotion of cryptocurrencies on print and visual media would perhaps prove to be the undoing of their promoters. It is only a matter of time before financial fraud prevention enforcement agencies like the CBI and ED catch up with them. But millions may lose their hard-earned money by then.[Extracted with edits and revisions, from Opinion, The Indian Express]Q.What function does the statement An asset is something that has a tangible value serve within the passage?a)It contradicts the authors assertion that intangible assets can also possess utility.b)It reinforces the authors assertion that currencies can exist in either physical or digital forms.c)It constitutes a foundational point for the authors conclusion that cryptocurrencies are not assets. (Correct Answer)d)It reinforces the authors argument that cryptocurrency can never qualify as a currency.Correct answer is option 'C'. Can you explain this answer? covers all topics & solutions for CLAT 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Directions: Read the following passage and answer the question.In recent times, there has been a great euphoria about investing in cryptocurrencies. For any instrument to classify as a currency, it must have the following features: One, it is a promissory note wherein the issuer is promising the bearer or the holder a value. Two, it is backed by a sovereign nation and, therefore, there is never a question of any default in executing the promise. Three, the printing of currency in either physical or digital form is always based on some tangible asset, like gold or a basket of goods. From the above, its clear that cryptocurrency can never be a currency. Can crypto then be considered an asset? An asset is something that has a tangible value. Even if its immediate utility is intangible, an asset should have some tangible benefits. The cryptocurrencies being promoted currently — bitcoin, litecoin, ethereum — are nothing but gaming points. Whenever a discussion on cryptos takes place, promoters talk of blockchain technology. This technology is just a technique to account for transactions.Many frauds like multi-marketing schemes, chit funds or deposit frauds were disguised as timeshare schemes, gold and land investments, and promised hefty returns. These pyramid schemes were carried out over a long period to evade the law. Nevertheless, fraud could still be established, the trail of funds could be traced and the perpetrators identified. Crypto promoters have taken fraud to another level with little scope of their getting caught.The recent aggressive promotion of cryptocurrencies on print and visual media would perhaps prove to be the undoing of their promoters. It is only a matter of time before financial fraud prevention enforcement agencies like the CBI and ED catch up with them. But millions may lose their hard-earned money by then.[Extracted with edits and revisions, from Opinion, The Indian Express]Q.What function does the statement An asset is something that has a tangible value serve within the passage?a)It contradicts the authors assertion that intangible assets can also possess utility.b)It reinforces the authors assertion that currencies can exist in either physical or digital forms.c)It constitutes a foundational point for the authors conclusion that cryptocurrencies are not assets. (Correct Answer)d)It reinforces the authors argument that cryptocurrency can never qualify as a currency.Correct answer is option 'C'. Can you explain this answer?.

Solutions for Directions: Read the following passage and answer the question.In recent times, there has been a great euphoria about investing in cryptocurrencies. For any instrument to classify as a currency, it must have the following features: One, it is a promissory note wherein the issuer is promising the bearer or the holder a value. Two, it is backed by a sovereign nation and, therefore, there is never a question of any default in executing the promise. Three, the printing of currency in either physical or digital form is always based on some tangible asset, like gold or a basket of goods. From the above, its clear that cryptocurrency can never be a currency. Can crypto then be considered an asset? An asset is something that has a tangible value. Even if its immediate utility is intangible, an asset should have some tangible benefits. The cryptocurrencies being promoted currently — bitcoin, litecoin, ethereum — are nothing but gaming points. Whenever a discussion on cryptos takes place, promoters talk of blockchain technology. This technology is just a technique to account for transactions.Many frauds like multi-marketing schemes, chit funds or deposit frauds were disguised as timeshare schemes, gold and land investments, and promised hefty returns. These pyramid schemes were carried out over a long period to evade the law. Nevertheless, fraud could still be established, the trail of funds could be traced and the perpetrators identified. Crypto promoters have taken fraud to another level with little scope of their getting caught.The recent aggressive promotion of cryptocurrencies on print and visual media would perhaps prove to be the undoing of their promoters. It is only a matter of time before financial fraud prevention enforcement agencies like the CBI and ED catch up with them. But millions may lose their hard-earned money by then.[Extracted with edits and revisions, from Opinion, The Indian Express]Q.What function does the statement An asset is something that has a tangible value serve within the passage?a)It contradicts the authors assertion that intangible assets can also possess utility.b)It reinforces the authors assertion that currencies can exist in either physical or digital forms.c)It constitutes a foundational point for the authors conclusion that cryptocurrencies are not assets. (Correct Answer)d)It reinforces the authors argument that cryptocurrency can never qualify as a currency.Correct answer is option 'C'. Can you explain this answer? in English & in Hindi are available as part of our courses for CLAT. Download more important topics, notes, lectures and mock test series for CLAT Exam by signing up for free.

Here you can find the meaning of Directions: Read the following passage and answer the question.In recent times, there has been a great euphoria about investing in cryptocurrencies. For any instrument to classify as a currency, it must have the following features: One, it is a promissory note wherein the issuer is promising the bearer or the holder a value. Two, it is backed by a sovereign nation and, therefore, there is never a question of any default in executing the promise. Three, the printing of currency in either physical or digital form is always based on some tangible asset, like gold or a basket of goods. From the above, its clear that cryptocurrency can never be a currency. Can crypto then be considered an asset? An asset is something that has a tangible value. Even if its immediate utility is intangible, an asset should have some tangible benefits. The cryptocurrencies being promoted currently — bitcoin, litecoin, ethereum — are nothing but gaming points. Whenever a discussion on cryptos takes place, promoters talk of blockchain technology. This technology is just a technique to account for transactions.Many frauds like multi-marketing schemes, chit funds or deposit frauds were disguised as timeshare schemes, gold and land investments, and promised hefty returns. These pyramid schemes were carried out over a long period to evade the law. Nevertheless, fraud could still be established, the trail of funds could be traced and the perpetrators identified. Crypto promoters have taken fraud to another level with little scope of their getting caught.The recent aggressive promotion of cryptocurrencies on print and visual media would perhaps prove to be the undoing of their promoters. It is only a matter of time before financial fraud prevention enforcement agencies like the CBI and ED catch up with them. But millions may lose their hard-earned money by then.[Extracted with edits and revisions, from Opinion, The Indian Express]Q.What function does the statement An asset is something that has a tangible value serve within the passage?a)It contradicts the authors assertion that intangible assets can also possess utility.b)It reinforces the authors assertion that currencies can exist in either physical or digital forms.c)It constitutes a foundational point for the authors conclusion that cryptocurrencies are not assets. (Correct Answer)d)It reinforces the authors argument that cryptocurrency can never qualify as a currency.Correct answer is option 'C'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of Directions: Read the following passage and answer the question.In recent times, there has been a great euphoria about investing in cryptocurrencies. For any instrument to classify as a currency, it must have the following features: One, it is a promissory note wherein the issuer is promising the bearer or the holder a value. Two, it is backed by a sovereign nation and, therefore, there is never a question of any default in executing the promise. Three, the printing of currency in either physical or digital form is always based on some tangible asset, like gold or a basket of goods. From the above, its clear that cryptocurrency can never be a currency. Can crypto then be considered an asset? An asset is something that has a tangible value. Even if its immediate utility is intangible, an asset should have some tangible benefits. The cryptocurrencies being promoted currently — bitcoin, litecoin, ethereum — are nothing but gaming points. Whenever a discussion on cryptos takes place, promoters talk of blockchain technology. This technology is just a technique to account for transactions.Many frauds like multi-marketing schemes, chit funds or deposit frauds were disguised as timeshare schemes, gold and land investments, and promised hefty returns. These pyramid schemes were carried out over a long period to evade the law. Nevertheless, fraud could still be established, the trail of funds could be traced and the perpetrators identified. Crypto promoters have taken fraud to another level with little scope of their getting caught.The recent aggressive promotion of cryptocurrencies on print and visual media would perhaps prove to be the undoing of their promoters. It is only a matter of time before financial fraud prevention enforcement agencies like the CBI and ED catch up with them. But millions may lose their hard-earned money by then.[Extracted with edits and revisions, from Opinion, The Indian Express]Q.What function does the statement An asset is something that has a tangible value serve within the passage?a)It contradicts the authors assertion that intangible assets can also possess utility.b)It reinforces the authors assertion that currencies can exist in either physical or digital forms.c)It constitutes a foundational point for the authors conclusion that cryptocurrencies are not assets. (Correct Answer)d)It reinforces the authors argument that cryptocurrency can never qualify as a currency.Correct answer is option 'C'. Can you explain this answer?, a detailed solution for Directions: Read the following passage and answer the question.In recent times, there has been a great euphoria about investing in cryptocurrencies. For any instrument to classify as a currency, it must have the following features: One, it is a promissory note wherein the issuer is promising the bearer or the holder a value. Two, it is backed by a sovereign nation and, therefore, there is never a question of any default in executing the promise. Three, the printing of currency in either physical or digital form is always based on some tangible asset, like gold or a basket of goods. From the above, its clear that cryptocurrency can never be a currency. Can crypto then be considered an asset? An asset is something that has a tangible value. Even if its immediate utility is intangible, an asset should have some tangible benefits. The cryptocurrencies being promoted currently — bitcoin, litecoin, ethereum — are nothing but gaming points. Whenever a discussion on cryptos takes place, promoters talk of blockchain technology. This technology is just a technique to account for transactions.Many frauds like multi-marketing schemes, chit funds or deposit frauds were disguised as timeshare schemes, gold and land investments, and promised hefty returns. These pyramid schemes were carried out over a long period to evade the law. Nevertheless, fraud could still be established, the trail of funds could be traced and the perpetrators identified. Crypto promoters have taken fraud to another level with little scope of their getting caught.The recent aggressive promotion of cryptocurrencies on print and visual media would perhaps prove to be the undoing of their promoters. It is only a matter of time before financial fraud prevention enforcement agencies like the CBI and ED catch up with them. But millions may lose their hard-earned money by then.[Extracted with edits and revisions, from Opinion, The Indian Express]Q.What function does the statement An asset is something that has a tangible value serve within the passage?a)It contradicts the authors assertion that intangible assets can also possess utility.b)It reinforces the authors assertion that currencies can exist in either physical or digital forms.c)It constitutes a foundational point for the authors conclusion that cryptocurrencies are not assets. (Correct Answer)d)It reinforces the authors argument that cryptocurrency can never qualify as a currency.Correct answer is option 'C'. Can you explain this answer? has been provided alongside types of Directions: Read the following passage and answer the question.In recent times, there has been a great euphoria about investing in cryptocurrencies. For any instrument to classify as a currency, it must have the following features: One, it is a promissory note wherein the issuer is promising the bearer or the holder a value. Two, it is backed by a sovereign nation and, therefore, there is never a question of any default in executing the promise. Three, the printing of currency in either physical or digital form is always based on some tangible asset, like gold or a basket of goods. From the above, its clear that cryptocurrency can never be a currency. Can crypto then be considered an asset? An asset is something that has a tangible value. Even if its immediate utility is intangible, an asset should have some tangible benefits. The cryptocurrencies being promoted currently — bitcoin, litecoin, ethereum — are nothing but gaming points. Whenever a discussion on cryptos takes place, promoters talk of blockchain technology. This technology is just a technique to account for transactions.Many frauds like multi-marketing schemes, chit funds or deposit frauds were disguised as timeshare schemes, gold and land investments, and promised hefty returns. These pyramid schemes were carried out over a long period to evade the law. Nevertheless, fraud could still be established, the trail of funds could be traced and the perpetrators identified. Crypto promoters have taken fraud to another level with little scope of their getting caught.The recent aggressive promotion of cryptocurrencies on print and visual media would perhaps prove to be the undoing of their promoters. It is only a matter of time before financial fraud prevention enforcement agencies like the CBI and ED catch up with them. But millions may lose their hard-earned money by then.[Extracted with edits and revisions, from Opinion, The Indian Express]Q.What function does the statement An asset is something that has a tangible value serve within the passage?a)It contradicts the authors assertion that intangible assets can also possess utility.b)It reinforces the authors assertion that currencies can exist in either physical or digital forms.c)It constitutes a foundational point for the authors conclusion that cryptocurrencies are not assets. (Correct Answer)d)It reinforces the authors argument that cryptocurrency can never qualify as a currency.Correct answer is option 'C'. Can you explain this answer? theory, EduRev gives you an ample number of questions to practice Directions: Read the following passage and answer the question.In recent times, there has been a great euphoria about investing in cryptocurrencies. For any instrument to classify as a currency, it must have the following features: One, it is a promissory note wherein the issuer is promising the bearer or the holder a value. Two, it is backed by a sovereign nation and, therefore, there is never a question of any default in executing the promise. Three, the printing of currency in either physical or digital form is always based on some tangible asset, like gold or a basket of goods. From the above, its clear that cryptocurrency can never be a currency. Can crypto then be considered an asset? An asset is something that has a tangible value. Even if its immediate utility is intangible, an asset should have some tangible benefits. The cryptocurrencies being promoted currently — bitcoin, litecoin, ethereum — are nothing but gaming points. Whenever a discussion on cryptos takes place, promoters talk of blockchain technology. This technology is just a technique to account for transactions.Many frauds like multi-marketing schemes, chit funds or deposit frauds were disguised as timeshare schemes, gold and land investments, and promised hefty returns. These pyramid schemes were carried out over a long period to evade the law. Nevertheless, fraud could still be established, the trail of funds could be traced and the perpetrators identified. Crypto promoters have taken fraud to another level with little scope of their getting caught.The recent aggressive promotion of cryptocurrencies on print and visual media would perhaps prove to be the undoing of their promoters. It is only a matter of time before financial fraud prevention enforcement agencies like the CBI and ED catch up with them. But millions may lose their hard-earned money by then.[Extracted with edits and revisions, from Opinion, The Indian Express]Q.What function does the statement An asset is something that has a tangible value serve within the passage?a)It contradicts the authors assertion that intangible assets can also possess utility.b)It reinforces the authors assertion that currencies can exist in either physical or digital forms.c)It constitutes a foundational point for the authors conclusion that cryptocurrencies are not assets. (Correct Answer)d)It reinforces the authors argument that cryptocurrency can never qualify as a currency.Correct answer is option 'C'. Can you explain this answer? tests, examples and also practice CLAT tests.