Crypto law needs global teamwork: Finance Minster
- RBI recommended ban on cryptocurrencies citing ‘destabilizing effects’ for country’s monetary and fiscal health.
Law to ban crypto
- Law to regulate or ban cryptocurrencies can only be effective once there is some form of international agreement in place.
- Cryptocurrencies require international collaboration to prevent regulatory arbitrage as they are borderless.
- RBI: cryptocurrencies are not currency because every modern currency needs to be issued by central bank or Government.
Value solely speculative
- RBI had been cautioning people against the use of virtual currencies since 2013.
- April 2018: RBI prohibited regulated entities from dealing in virtual currencies or providing services for facilitating any person or entity in dealing with or settling them.
- It was set aside by SC in March 2020.