MUMBAI, Feb 11 (NNN-PTI) – India’s central bank governor, yesterday termed cryptocurrency as a huge threat to the country’s macroeconomic and financial stability.
Addressing the media, after the bi-monthly monetary policy, Reserve Bank of India (RBI) Governor, Shaktikanta Das said, “Our position on cryptocurrency is very clear… Private cryptos are a huge threat to macroeconomic and financial stability.”
Warning cryptocurrency investors to invest at their own risk, the governor said, they must note that, there is no underlying for such assets and these investments are even worse than the Tulip bubble, referring to the tulipmania of the 17th century, when prices of tulip bulbs soared higher than the annual income of skilled workers.
Earlier this month, India, in its federal budget, levied a 30-percent tax on the transfer of digital assets, without legitimising it.
India also announced the launch of a digital currency, in the fiscal year 2022-23, and the RBI has been working on it for the past 18-24 months.– NNN-PTI