Prime Minister Narendra Modi on Friday said emerging technologies like cryptocurrencies should be used to empower democracy and not weaken it.
Policy makers in India say that unregulated transactions in digital currencies could harm macroeconomic and financial stability. After initially planning to ban cryptocurrencies, Modi The government is instead considering legislation to regulate their use.
“We must jointly shape global norms for emerging technologies like social media and cryptocurrencies so that they can be used to empower democracy, not weaken it,” Modi said at a virtual summit hosted by the US President. to do.” Joe Biden,
Estimated 15 million to 20 million . Huh cryptocurrency Investors in India, with total crypto holdings of around Rs. 40,000 crore as per industry estimates. The government does not provide any official data.
recently, duvvuri subbarao, the former reserve Bank of India (RBI) governor expressed his concern about cryptocurrencies. Subbarao said that if legalized, cryptocurrencies could rob the central bank of control over the money supply and inflation management in the country. Subbarao shared his assessment this week while addressing a webinar organized by the National Stock Exchange (NSE) and the New York University (NYU) Stern School of Business.
The developments come amid India’s plan to ban the operation of all private cryptocurrencies in the country, which was listed as an agenda for discussion in the ongoing winter session of Parliament last month.
The proposed law also seeks to make those who violate the law, can be arrested without warrant and caught without bail as well as face hefty fines.
After getting approval from the Union Cabinet, the bill will be introduced in the Indian Parliament.