Global: RBI Expresses Fear Over Crypto’s Impact On Financial Stability

The Reserve Bank of India (RBI) has expressed concern that cryptocurrency could affect the country’s financial stability.

RBI’s Governor, Shaktikanta Das stated this in an interview with the Economic Times.

The Governor stated that cryptocurrency adoption might work in an advanced economy, one of which India isn’t.

Das said that cryptocurrency could be used for illicit financial operations and money laundering due to its anonymous nature.

According to him, the unpredictable prices of cryptocurrency could also affect the economy.

“The prices of something which does not have any underlying base, will not remain high all the time. Therefore it may crash and it has crashed. Ultimately in a situation like this, it is the small investor who loses money, and therefore it is a big risk for the small investors also.” he said.