A major member in the indian finance ministry has criticize cryptocurrencies, saying it wont be possible bringing them under regulation, He advised that the Indian federal government should totally ban all digital currency, this statement was made by Shaktikanta Das.
Das also went ahead in an interview with quartz last week he was quoted to have said
”it impossible to enter every household to check what transaction they are making. This will be a difficult thing to track,it should not be allowed at all.”
Cryptocurrencies came into Indian late 2013, bitcoin was the first to caught the eye of Reserve Bank of Indian(RBI),citizens were warned against it then, pointing out a lot of risk, including economical and financial risk. The rapid growth of the cryptocurrency market in late 2017 motivates the central bank to release another similar report. Though its obvious that Das has been an opponent to cryptocurrency, to the extent that he led a committee to recommend laws and regulation within the country when he was the secretary of economic affairs last year. Another committee has been set up, led by Subhash Garg,they are expeted to submit its draft in few months .
Das continued saying”cryptocurrencies are parallel currency currency developing and its illegal.no legal backups for it transactons.”
He mentioned that cryptocurrencies could be use in money laudering and terror financing, and all sort of illegal activities, his point is also backed by former minister, Arun Jaitley he stated that ” the government will need take all measures to eradicate the use of crypto-asset in financing illegitimate activity or as part of the payment system.”
India is hardly the only country to have given cryptocurrencies the cold shoulder in recent times. Only last year, governments of several countries set up committees to discuss and draft a framework for the regulation of these digital assets. China, in fact, went the extremist route and banned all initial coin offerings (ICOs) from being set up within its borders. Subsequently, the Chinese government also pressurized local exchanges into submission, forcing them to pivot their business to an international audience instead.
Das might not have the power to decide for india government on digital currencies stance in the country, but his decision should not be jettison.