RBI's new leadership to retain anti-crypto stance, officials say

NEW DELHI: The change of guard at the Reserve Bank of India (RBI) is unlikely to change the central bank's position on private cryptocurrencies, two officials said.

- Rajeev Jayaswal

In India, crypto-assets are not recognized as legal tender even though the government is yet to frame a specific legislation for crypto assets, they added, requesting anonymity. Currently, cryptocurrencies are unregulated in India, and the government is in the process of bringing out a discussion paper on this subject with options ranging from regulation to a complete ban, the two said.

"With RBI's digital currency (e₹) in circulation, the argument that technology of cryptocurrencies must not be outrightly discarded is no longer valid. The G20 synthesis paper of the International Monetary Fund (IMF) and the Financial Stability Board (FSB) is the latest global guide on this matter; it suggests a minimum threshold for regulation and doesn't stop any country from adopting higher restrictions, including a complete ban," one official said.