RBI in favor of complete ban on cryptocurrencies, says report

New Delhi: According to a report in Economic Times, the Reserve Bank of India (RBI) wants a complete ban on cryptocurrencies.

The RBI discussed various issues related to central bank digital currencies (CBDCs) and private cryptocurrencies at its Central Board meeting in Lucknow on Friday. The central bank has already conveyed this message to its central board of directors.

Governor Shaktikanta Das presided over the 592nd meeting of the Central Board of Directors.

RBI is working towards a phased implementation strategy for CBDCs, however, on several occasions in the past, had expressed reservations with private cryptocurrencies.

Das had earlier said, “Cryptocurrencies are a serious concern for the RBI from the point of view of macroeconomic and financial stability.” “As central bankers, we have serious concerns about this and we have flagged it several times.”

However, according to the report, some board members called for a balanced view on these digital assets, noting the developments in the tech sector and the larger implications for the financial sector.

The Central Government had listed the Cryptocurrency and Regulation of Official Digital Currency Bill, 2021, to be introduced in the Lok Sabha in the winter session of Parliament. It was also listed for the first budget session but could not be tabled as the government decided to rebuild it.

Meanwhile, according to a Bloomberg report, the cryptocurrency bill is unlikely to be introduced in the winter session of Parliament as the Center is yet to finalize the details of the bill. Parliament’s event last week removed the cryptocurrency bill from the business list put up on the website.

Reports suggested that Prime Minister Narendra Modi would take a final call on the size of the proposed cryptocurrency bill. Modi has already held several rounds of talks in this matter.

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