Cryptocurrency Seen As A Means To Promote New Technology

Anurag Thakur who is currently India’s Union Minister of State for finance and corporate affairs, recently talked about the digital currency’s scope.  He said that Prime Minister Narendra Modi was strongly in favor of promoting new technology and evaluating new ideas.

While speaking to the Punjab chapter of Entrepreneurs Organisation he invited new innovation and development. He added that PM Narendra Modi himself was a solid backer of incorporating innovation and technology in different aspects of administration. The Union Minister further expressed his strong belief in evaluating, encouraging, and exploring novel ideas with a receptive outlook.

The minister, during the virtual interaction, revealed the formation of a high-level inter-ministerial committee on virtual currency. He further informed that the committee would be headed by the secretary of economic affairs and a report had been submitted by it. He stated that the government would pass a verdict with respect to any suggestions of the committee and legislative proposals made by it. Thakur added that all the suggestions and legislative proposals would be presented in the Parliament following fair treatment.

This goes on to show that there is scope for cryptocurrency in the country. After revelation was made regarding the Indian digital currency bill, a lot of criticism followed. People thought that the proposed law would ban cryptocurrency altogether, but this recent address by Thakkur has clarified the government’s position with respect to digital currency.

The finance minister’s comments come days after Shaktikanta Das hailed significant worries with respect to the effect of cryptocurrency on economic stability. Shaktikanta Das is the governor of the Reserve bank of India (RBI). Das had told during his interview to a news channel that the concerns had been expressed to the Indian government. He added that the concerns were being deliberated upon by the government. He expressed his belief that sooner or later if the need arose, the government and the Parliament would come to a decision.

Das, nevertheless, gave an explanation with regard to the uniqueness of blockchain technology. He clarified that exploiting the benefits of blockchain technology was something else, however for now cryptocurrency was their major concern. The impact of cryptocurrency on financial stability was what concerned him the most, and the same was expressed to the government.

Back in 2018, the central bank barred banks and other regulated financial institutions from supporting crypto exchanges. Such a step was taken after deceptive schemes and scams relating to digital assets emerged following demonetization. However, last year the curbs were struck down by the Supreme Court after cryptocurrency exchange platforms contested the central bank’s move.

Das additionally uncovered RBI’s plans to roll out India’s own digital rupee. He told in his interview that RBI was very much in the game and was in the process of rolling out its own virtual currency. The RBI team was dealing with it, considering all aspects that need to be worked on, like technology and procedural aspects.

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