The Governor of the Reserve Bank of India, Shaktikanta Das, expressed his opinion on the increasing demand for cryptocurrencies in the country and its drawbacks, at the Business Today Banking and Economy Summit.While talking about the position of crypto in the Indian economy, Das said, " crypto should be banned, given its no underlying value in the market. Just like every asset, every financial product comes with some underlying value, hence the value of crypto is totally based on the make-believe factor."
At the event, Das continued to say, "Crypto is a form of gambling without any underlying value and is nothing but a 100 percent speculation world."This is a worrying sign for the crypto industry in India. "Crypto masquerading as a financial asset is a completely misplaced argument," he added. While counting crypto as a form of gambling, Das described, "Our country does not promote gambling, and if people still want to continue investing in it, lay down proper rules for the same.He further claimed, "Crypto is not a financial product but pure gambling, and called for an outright ban on it. Finance Minister Nirmala Sitharaman is scheduled to present the Union Budget in the Lok Sabha on February 1. The minister has already met different stakeholders to elicit their views and suggestions for the Budget.