Cryptocurrencies: What RBI Governor Said In Support Of Demand To Ban Them, How Was 2022 For Crypto Industry

Mumbai: If you invest money in cryptocurrencies, then you may be cautious, because the Reserve Bank of India (RBI) Governor has reiterated the demand to ban them. RBI Governor Shaktikanta Das said that it is nothing but gambling and its alleged value is just a hoax.

e-rupee introduced

He said that taking forward its opposition on such currencies, RBI has recently introduced its digital currency (Central Bank Digital Currency) in the form of e-rupee.

Crypto has no inherent value 

Reserve Bank Governor Shaktikanta Das reiterated the need for a complete ban on crypto in a programme. Its proponents call it an asset or a financial product, but it has no inherent value.

The Governor said, “Every asset, every financial product must have some underlying value, but there is no inherent value in the case of crypto.

Increase in market value of crypto is just a hoax

He said that the increase in the market value of crypto is just a hoax. He said that to put it very clearly, it is gambling. 

Das insisted, “We do not allow gambling in our country, and if you want to allow gambling, consider it gambling and set gambling rules… But crypto is not a financial product.”

Cryptocurrencies would lead to next financial crisis

Last month also Reserve Bank of India Governor Shaktikanta Das had warned that private cryptocurrencies, if allowed to grow, would lead to the ‘next financial crisis’ and reiterated his stance to prohibit them.

He had said the cryptocurrencies have certain huge inherent risks which could pose threat to the country’s macroeconomic and financial stability.

How was 2022 for crypto industry

Amidst demad to ban crypto in India, crypto enthusiasts witnessed multiple wins and breakthroughs in 2021. They were optimistic for the year ahead but 2022 was a tumultuous and challenging year for the crypto industry.

Nonetheless, it is not right to say that the industry has only experienced downsides throughout the year. Globally, we got to see more mainstream adoption of crypto, and had a greater presence in celebrated sporting events such as The Super Bowl and FIFA World Cup Qatar 2022.