India central bank creates crypto exchange department, formulate CBDCs. A fintech department has been set up at India’s Reserve Bank of India (RBI), according to Reuters. The RBI is responsible for overseeing the country’s banking sector. And has established the fintech department to assist in the development of regulations. For cryptocurrencies and the country’s upcoming central bank digital currency. Which will be launched in 2019. (CBDC).
As reported in the article, the bank is now working on two types of CBDCs. Wholesale and retail, with the new department in charge of overseeing. Their development and implementation. Ajay Kumar Choudhary, who is now serving as the Reserve Bank of India’s top general manager. Will be promoted to the role of chief executive officer. Of the department, according to the announcement.
RBI’s Bitcoin history
Keep in mind that the purpose of the department is to monitor “new age concerns”. Emerging from financial technology applications, and bitcoin. Is also only a small part of that responsibility. So while the agency will continue to watch cryptocurrencies and their issues. It is unlikely that they would be the first item on its agenda. As they have been in the past.
Not surprisingly, the Reserve Bank of India (RBI), and particularly its governor Shaktikanta Das. Has been one of the most vociferous opponents of Bitcoin in the country. Dietrich Das has regularly expressed his resistance to the use of cryptocurrencies in India. As well as his concern about the increasing amount of wealth. That is being invested in crypto-trading in the country, according to his website.
The number of cryptocurrency dealers and users in India is difficult to estimate. Although the country’s largest cryptocurrency exchanges have claimed. That they have millions of registered users.
A cryptocurrency exchange founded by Nischal Shetty. Who says that the country will have a total of 20 million cryptocurrency users. By the fourth quarter of the year 2021, is based on his own estimates. WazirX is largely recognized as also the most active cryptocurrency exchange in the country. In terms of trading volume, according to industry experts.
What is India’s crypto law?
A year has passed since the Indian government began working on laws. To regulate cryptocurrency exchanges and other digital assets. Prior to that, politicians in the country initially suggested legislation. Would regulate cryptocurrencies in 2015. In spite of the fact that the legislation in question was originally. Supposed to handled during the budget session of Parliament in January 2021. It never brought before the House of Commons. For consideration during the following Parliamentary session.
A discussion on the topic was include in the recently conclude Winter Session of Parliament. Which was preside over by Finance Minister Nirmala Sitharaman and other ministers. Who have expressed their views on what should be include in the bill. Which recently finalized, and which also presided. Over by Speaker of the House of Commons John Bercow.
It is expect that the cryptocurrency industry will also respond positively. To the Reserve Bank of India’s decision regarding cryptocurrency regulation. For quite some time, the cryptocurrency industry has also asked. For the passage of laws of India Central Bank that would govern the business and its operations. Currently, no such legislation exists.