RBI Deputy Governor cautions against Crypto currencies; says it was developed to bypass government control

 

 Reserve Bank of India Deputy Governor T Rabi Sankar has cautioned investors on cryptocurrencies, stating that crypto-technology is created for the purpose of evading government controls and regulated financial system in a country.

This comes after Union Finance Minister Nirmala Sitharaman said that discussions are on with the RBI on private cryptocurrency and central bank-backed digital currency (CBDC) and a decision will be taken after due deliberations. RBI Deputy Governor said, cryptocurrencies undermine financial integrity, especially the KYC regime and potentially facilitate anti-social activities.

On February 10, RBI Governor Shaktikanta Das had cautioned investors, saying that private cryptocurrencies are a threat to macroeconomic and financial stability. He said that it will undermine the RBI's ability to deal with challenges.

Finance Minister Nirmala Sitharaman, on February 1, had presented the Union Budget 2022-23 wherein she had announced that the Centre would impose a 30% tax on cryptocurrencies. During the Budget Session, she also introduced the digital currency to be issued by the RBI.

 

Social media is bold.

Social media is young.

Social media raises questions.

 Social media is not satisfied with an answer.

Social media looks at the big picture.

 Social media is interested in every detail.

social media is curious.

 Social media is free.

Social media is irreplaceable.

But never irrelevant.

Social media is you.

(With input from news agency language)

 If you like this story, share it with a friend!  

We are a non-profit organization. Help us financially to keep our journalism free from government and corporate pressure