RBI wants crypto to be prohibited, says FM

NEW DELHI: The RBI is of the view that cryptocurrencies should be prohibited. And, given the concerns expressed by the central bank on the destabilising effect of cryptocurrencies on the monetary and fiscal stability of a country, it has recommended framing of legislation on this sector, finance minister Nirmala Sitharaman said on Monday.
This is the first official statement acknowledging RBI’s views backing a ban on cryptocurrencies, although it was known that the central bank wanted cryptocurrencies to be barred.
“Yes sir. RBI has registered its concern over the adverse effect of cryptocurrency on Indian economy. RBI mentioned that cryptocurrencies are not a currency because every modern currency needs to be issued by the central bank / government,” Sitharaman said in a written reply in the Lok Sabha.