look news india
RBI Executive Director P Vasudevan has said that cryptocurrencies cannot be called 'currency' as they have no inherent value. This news can be a big shock for people investing in cryptocurrencies. Because, the Reserve Bank of India (RBI) has once again presented its stand on this issue. RBI Executive Director P Vasudevan has said that cryptocurrencies cannot be considered 'currency' as they have no inherent value. “Cryptocurrencies cannot be called ‘currency’ as they have no intrinsic value,” Vasudevan said at a seminar organized at the Indian Institute of Management-Kozhikode.
He said that ultimately it is up to the government to decide how to deal with cryptocurrencies. RBI has taken a serious stance towards new age cryptocurrencies like Bitcoin. He says that these currencies pose a systemic risk to financial systems.
'Bitcoin has no legal basis in the country'
Currently, Bitcoin has no legal backing in India and investors have to pay tax on the income they earn from trading in it. On the regulatory action against Paytm Payments Bank and the restrictions imposed on some international card providers, Vasudevan said self-regulation can better protect the fintech sector. Earlier, RBI Governor Shaktikanta Das had also said that investing in crypto currency is very risky. He says that the Reserve Bank's stance on cryptocurrency will not change.
Last year also, Governor Shaktikanta Das had said that there would be no relaxation in RBI's control over crypto assets. RBI has always described cryptocurrencies as a serious threat to the economic stability of all countries. Therefore, considering their risk, the previous ban imposed on them will not be lifted.