I think since India only has notes in {5,10,50,100,500,1000} denominations there might not be enough legal tender with just {5,10,50,100} to convert all {500,1000} notes, thus by introducing a new notes (bills) which look completely different than older 500 Rs, and 2000 Rs which are completely new, they can ensure that enough notes/bills are available.

there is 20

Wouldn't it be 4x $100 notes? Why would you take the two $100 notes if you knew they were being devalued?

2K notes are not just piece of paper, it does have NGC (Nano GPS Chip) by which income tax department can track the location and exact amount have stashed nearby that location. So sending that amount to some other country or keeping that money underground will be the most foolish thing one can do.

Surprised to see this garbage rumour parroted in Hacker News of all places. Haven't people heard of Faraday cages?

GPS receivers don't transmit.

Not possible and also useless. Govt has not made any statement about it either.

Is this Nano GPS Chip for real? How does it work and how much does it cost to make such currency?

That NGC seems to be a rumour.

Do not believe in WhatsApp forwards.

Could it really be GPS? Or does it function more like an RFID chip that can be read at an extended range or distance?

Not sure how true is that story. But it's circulating around various news channels and whatsapp groups too.