Cryptocurrency

Cryptocurrency has some concerns with financial stability- Principal Economic Advisor Sanjeev Sanyal

Crypto Finance Government

El Salvador has accepted Bitcoin (Cryptocurrency), but the Reserve Bank of India has raised financial stability concerns about cryptocurrencies, according to Principal Economic Advisor Sanjeev Sanyal, who added that the government will take a “balanced perspective.”

Sanjeev Sanyal, the government’s Principal Economic Advisor, stated that a balanced view on the topic of cryptocurrencies in the country would be issued shortly, adding that there is now some financial instability in this respect.

In an exclusive interview, Sanyal further stated that bitcoin was not included in the Economic Survey for 2021-2022 due to the reasons above.

In an engagement with the media, Sanyal noted earlier today that there are presently no specific rules or bans on the usage of cryptocurrencies in the nation, according to a survey submitted in Parliament by Finance Minister Nirmala Sitharaman earlier in the day.

“This is a topic of discussion both inside the government and in Parliament. This is a topic that is presently being debated. We are aware of the numerous concerns that may arise. The implications for financial stability have been emphasised by the RBI. We can see it in other nations as well; El Salvador, for example, has accepted Bitcoin “At a news conference here, Sanyal responded to a question about cryptocurrencies.

“There are certain concerns with financial stability. However, there are other reasons presented in terms of innovation and so forth. On this, a balanced viewpoint will be adopted. This isn’t something we covered in the economic survey, and I’m not sure I’m qualified to comment on current thought because it’s still changing “Added he.

In November of last year, Prime Minister Narendra Modi presided over a discussion on the future of the cryptocurrency business.

In recent months, there have been an increasing number of adverts, some starring even movie stars, promising quick and significant returns on cryptocurrency investments, despite fears that such currencies are being exploited to deceive investors with false claims.

The Parliamentary Standing Committee on Finance, chaired by BJP member Jayant Sinha, met with representatives from crypto exchanges, the Blockchain and Crypto Assets Council (BACC), and other organizations and concluded that cryptocurrencies should not be banned in the country but somewhat regulated.