According to the news of India Today on January 13, the Governor of the Reserve Bank of India (RBI) Shaktikanta Das He called for a ban on cryptocurrencies at a recent conference.
Shaktikanta Das underlined that the Reserve Bank of India’s view on cryptocurrencies is very clear. The Central Bank Governor thinks that cryptocurrencies should be banned.
das, cryptocurrency He stated that the currency “has no underlying value” and that its value is based on “fake” and speculation. “To put it bluntly, it’s a gamble,” said Das, adding that gambling is prohibited in India.
The president’s comments are quite similar to the comparison made by politician Bihar Sushil Kumar Modi last April. Although some states in India allow betting and lotteries, betting is largely banned nationwide.
Koinfinans.com As we reported, the president thinks his authority will be weakened if he allows cryptocurrencies in India. Moreover, he added that he believes that this loss of authority will weaken the control over the money supply over time.
He argued that the adoption of crypto could lead to dollarization, meaning that foreign U.S. currency could be used more and more over the Indian rupee.
The Reserve Bank of India stated that it warned of a possible crypto collapse, claiming that it was a harbinger of FTX and similar collapses. Das and RBI have indeed issued similar warnings since at least late 2021. Das personally called for a ban in December last year.
Despite such calls, the ban has not yet been officially adopted. While Das supports some uses of blockchain, the reason behind this seems to be CBDC studies. A 1% business tax is applied in addition to the 30% tax on digital assets nationwide.