Prime Minister Narendra Modi presided over a meeting about the next steps in the matter on Saturday. Sources from government assert that these unregulated markets must not be allowed “money laundering” or terrorist financing.
The T20 cricket World Cup was in full swing and advertisements for cryptocurrency exchanges were appearing on every broadcast, government sources said that there were concerns over their impact on young retail investors.
“The Bangalore lobby believes that crypto is the future of technology. Sources indicated that the Centre is aware of the fact that crypto is an emerging technology. The government made the decision that it will closely monitor developments in cryptocurrency and take proactive steps.
The security angle is important, too. “Historically, the government has looked at cryptocurrencies through a national security lens. The government has never been confident in these currencies, as they were more popular in East European and China.
This review is being done ahead of Monday’s meeting of the parliamentary finance committee with representatives from industry and stakeholders.
Faced with the rapid growth of cryptocurrencies like Bitcoin, the RBI had already announced its intention to create a new official digital currency, Because cryptocurrencies are trans-border issues, it will be necessary to establish global partnerships and develop collective strategies.