Experts in cryptocurrency and digital assets have urged the Financial Minister, Nirmala Sitharaman, and the governor of the Reserve Bank of India to reconsider their stance on cryptocurrency prohibition.They asked them to take a deeper look into the matter and find a solution to benefit from the crypto transactions instead of eliminating them entirely.
The Indian crypto community members do agree that crypto can not replace regular currency transactions; the Indian government, instead of functioning on the framework of the global networks and appealing for a ban on digital assets, should look at best practises associated with the digital asset class and benefit from the same.
In the monsoon budget session, Sitharaman stated two points that make sense to crypto users—the first one is that the RBI is not in favour of cryptocurrency transactions. The other one is that the government of India would like to maintain synchronicity with the global regulations imposed on crypto.
#BREAKING | RBI has recommended banning cryptocurrencies, expressed concerns over 'destabilising effect of cryptocurrencies on the monetary and fiscal stability of a country', Finance Minister Nirmala Sitharaman tells Parliament
— Republic (@republic) July 18, 2022
An insight into India’s stance on cryptocurrency
While Sitharaman highlighted the issues that could arise with the cryptocurrency transactions, the Finance Minister also stated that nothing could be done by India as crypto is decentralised. A single country alone can not put a ban on the digital asset class. Therefore, the RBI will now function based on global regulations regarding cryptocurrencies.
But a financial expert –Menon, stated that cryptocurrency classifies under digital asset class, and RBI, instead of shunning it from the scene entirely, should come up with some plans and practices to benefit from it.
Menon continued by suggesting that we must look at the countries regulating digital assets and take examples from them to let crypto contribute towards enhancing our country’s economic conditions while creating job positions and empowering entrepreneurs.