The leadership of the Reserve Bank of India (RBI) believes that private cryptocurrencies make it difficult for central banks to solve important macroeconomic tasks.
The head of the RBI, Shaktikanta Das, said that cryptocurrencies pose a threat to financial stability. In his opinion, digital assets “have no basis”, moreover, they only interfere with government agencies to deal with economic problems.
Das added that with his statement he is fulfilling his direct duty – he warns investors against dubious investments. The head of the Central Bank believes that those who invest in cryptocurrency do so at their own peril and risk.
The RBI manager called cryptocurrencies “a bubble even bigger than tulips”, referring to the stock market crash of the Dutch tulip market in the 17th century. Then, on the stock exchanges of the Netherlands, speculators, in pursuit of profit, raised prices first for rare varieties of tulips, then for all the others – and the market collapsed, leaving the vast majority of investors with nothing.
Recall that in early February, the Indian Ministry of Finance announced that from April 1, 2022, a tax on any transactions with cryptocurrencies and NFTs will begin to operate in the country. At the same time, the new law does not mean that the authorities intend to legalize digital currencies.
Source: Bits
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