Indian Central Bank governor, Shaktikanta Das, warns about the crypto market crash, saying that small investors will lose their money. This is not the first time that Indian authorities have been making statements about the dangers while investing in crypto. A while back, India’s Finance Minister warned investors about the ongoing investigation in Indian exchanges and to stay safe.
Indian Central Bank governor wants about the risks of crypto
Shaktikanta Das is of the opinion that their warnings have stopped many people from investing in cryptocurrencies. He said in a recent interview that a lot of people must have noted their warnings as well as the reserve bank’s statements. This shows that the Indian authorities are completely against the crypto industry. It’s one thing trying to educate people and protect users from unauthorized exchanges or scams and another thing to deter them from investing in crypto completely.
The Indian central bank governor also believes that crypto can have a deep impact on our economy and make it difficult to determine monetary policies. This is another reason the RBI and Central Bank see crypto as a threat rather than a new innovation. They are not particularly against the tech behind it, which is blockchain, as India is also working on its own CBDC.
Shaktikanta Das also said in his interview that crypto could be used for illegal activities like money laundering and other similar crimes. Then he made a bold claim that crypto doesn’t have any underlying value and something like that will crash and which it did. And it is always the smaller investors/retailers who lose their money.
My opinions
Crypto sure is a risky investment, and Shaktikanta Das is absolutely correct when he says that retailers are most of the time losing money. However, the other statements about money laundering and illegal activities are a bit too much. It is true that crypto can be used for wrongful activities, but cash is still the primary medium for such things. Does that mean the government will ban the use of cash? I don’t think so.
What are your thoughts as the Indian Central Bank governor warns about the crypto market crash? And do you think discouraging citizens from adopting new technology is right? Let us know in the comment below. And, if you found our content informative, share it with your friends and family.
Also Read: Vitalik Buterin says people still don’t understand crypto payments.
