An executive at a cryptocurrency firm operating in the country has called the RBI’s goal of replacing digital assets with CBDC an “apples and oranges comparison.” economic times report October 9th.
“Is CBDC another Bitcoin (Bitcoin)? Central banks liken apples to oranges. Cryptocurrencies are tokens. CBDC is a digital currency. Comparing stocks. in INR? I didn’t know that CBDC’s only goal was to replace virtual digital assets,” said the executive, who requested anonymity.
RBI accused of conservative cryptocurrency approach
Elsewhere, another executive noted that the concept note showed the RBI’s limited, conservative and outdated view of cryptocurrencies.Ceo of crypto investment platform Coinbasket Khaleelulla Baig suggested that this approach shows that the central bank needs to maintain a fiat currency monopoly.
“Money will continue to move and coexist in the form of fiat and virtual currencies, just as messages move and coexist today in the form of SMS and WhatsApp,” said Baig.
At the same time, executives finance Sectors can incorporate elements of the crypto space such as deploying distributed ledger technology to increase transaction accuracy.
They agreed that the launch of the CBDC would coincide with the growth of India’s digital ecosystem, but challenged the institution to be more tolerant of private assets.
India’s Crypto Opponents
India’s opposition to private digital assets centers on promoting financial stability. As such, CBDC is touted as the sovereign digital currency of the country.
“It is the central bank’s responsibility to provide the public with risk-free central bank digital money,” the RBI said.
Notably, India has long expressed its intention to crack down on cryptocurrencies, with the RBI pushing for a ban on digital assets.However, due to the cross-border nature of digital assets, regulators International cooperation To achieve standard regulation.
Overall, the crypto regulatory space in India is marred with turmoil as the country witnesses a growth in crypto users and related service offering entities.