The head of the Indian central bank insists that crypto should be banned - warns that it will undermine the authority of the RBI - regulation
The head of the Indian central bank insists that crypto should be banned - warns that it will undermine the authority of the RBI - regulation
The Indian Central Bank has confirmed its attitude to the ban on cryptocurrencies such as Bitcoin and ether. The governor of the Reserve Bank of India (RBI) compared the trade in cryptocurrencies with gambling. He warned that Krypto "undermined the authority of the RBI and lead to the dollarization of the economy".
The governor of the RBI wants crypto to be banned
The governor of the Indian Central Bank, the Reserve Bank of India (RBI), Shaktikanta Das, emphasized the attitude of the bank on Krypto.
This emphasized that the central bank believed that cryptocurrencies such as Bitcoin and Ether fully prohibit India today and quoted him with the words: "The position of the RBI for crypto is very clear - it should be banned."
The governor of the Indian central bank emphasized that cryptocurrencies have no underlying value, and described:
Some people call cryptocurrency a wealth, others call them a financial product, but every asset or every financial product must have an underlying value. But cryptocurrency has no underlying value.
This continued to express his opinion on the market prices of cryptocurrencies and explained that they were based solely on speculation. He compared the trade in cryptocurrencies with games of chance.
"Everything whose evaluation is based solely on appearance is nothing but 100 percent speculation, or, to say it clearly, it is gambling," emphasized the RBI boss. "We do not allow gambling in our country. If you want to allow gambling, treat it as a gambling and set the rules."
The central banker repeated that he did not consider crypto as a financial product, and said:
The camouflage of cryptocurrencies as a financial product or financial asset is a completely inappropriate argument.
This also warned of the risks that crypto represents for the Indian economy. He warned:
The Reserve Bank, which is the currency authority of the country as a central bank, will lose control of the money supply in business ... it will undermine the authority of the RBI and lead to the dollarization of the economy.
rbi officials warned in May last year that Krypto could lead to dollarization part of the Indian economy "which violates the sovereign interest of the country".
India currently has no regulatory framework for cryptocurrencies. The government was work on a crypto calculation for several years. The Indian finance minister Nirmala Sitharaman said in October last year that the government hopes to discuss crypto regulation with the G20 countries to establish it A technology-driven regulation framework Crypto assets.
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