Our Finance Minister Mr. Arun Jaitley has conformed that there is no such chip or technology involved in making the new Rs 2000 notes. So, the below news was just a speculation spread over whatsup groups.
Recently the launch of new notes of Rs 2000 has created huge buzz and the biggest question is how this new note can curb black money circulation in India? I found an interesting explanation of this question in one of my favorite personal finance group in Facebook, Asan Ideas for Wealth. The below text is taken from that community only shared by one of the readers. Hope this is useful.
The Rs 2000 currency is designed keeping in mind to eradicate the black money issues using state of the art indigenous nano technology, every Rs. 2000 currency note is embedded with a NGC (Nano GPS Chip).
How the embedded NGC Technology Works?
The unique feature of the NGC is it doesn’t need any power source. It only acts as a signal reflector. When a Satellite sends a signal requesting location the NGC reflects back the signal from the location, giving precise location coordinates, and the serial number of the currency back to the satellite, this way every NGC embedded currency can be easily tracked & located even if it is kept 120 meters below ground level. The NGC cant be tampered with or removed without damaging the currency note
How will this help eradicate black money menace?
Since every NGC embedded currency can be tracked. The satellite can identify the exact amount of money stored at a certain location. If a relatively high concentration of currency is found a certain location for a longer period of time at suspicious locations other than banks & other financial institutions. The information will be passed on to the Income Tax Department for further investigation.