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The correct answer is option 2, which states that statement 1 and statement 2 are correct.
Statement 1 is correct as Bitcoin is indeed a decentralized virtual currency. This means that it is not controlled by any central authority such as a government or a financial institution. Instead, it operates on a peer-to-peer network of computers, where transactions are verified and recorded by a distributed network of nodes.
Statement 2 is correct as Bitcoin is generated through complex computer software systems, specifically through a process called mining. Miners use powerful computers to solve complex mathematical problems, and when they successfully solve a problem, they are rewarded with new bitcoins.
However, statement 3 is incorrect. The Reserve Bank of India (RBI) has not recognized Bitcoin as a legal tender. In fact, the RBI issued a statement in 2018 cautioning users, holders, and traders of virtual currencies, including Bitcoin, about the potential risks involved.
In summary, while statement 1 and statement 2 are correct, statement 3 is incorrect.