Fun

India’s Central Bank Governor Warns About Crypto After Collapse of Terra LUNA, UST

News Feed - 2022-05-24 12:05:39

India"s Central Bank Governor Warns About Crypto After Collapse of Terra LUNA, UST


India’s central bank, the Reserve Bank of India (RBI), has warned about investing in the crypto market following the collapse of cryptocurrency terra (LUNA) and stablecoin terrausd (UST). “We have been cautioning against crypto and look at what has happened to the crypto market now,” said Governor Shaktikanta Das. RBI’s Governor on Crypto Market and Regulation


The governor of the Reserve Bank of India (RBI), Shaktikanta Das, discussed the crypto market downturn and the regulation of crypto assets in an interview with CNBC TV18 Monday.


“We have been cautioning against crypto and look at what has happened to the crypto market now,” the governor said, stressing: Had we been regulating it already, then people would have raised questions about what happened to regulations.


The crypto market has shed over $1.5 trillion since November last year and almost $500 billion since the beginning of the month. The market slump was exacerbated by the fall of cryptocurrency terra (LUNA) and algorithmic stablecoin terrausd (UST).


Describing cryptocurrency, Das said: “This is something whose underlying (value) is nothing.” He added: There are big questions on how do you regulate it. Our position remains very clear, it will seriously undermine the monetary, financial and macroeconomic stability of India.


The RBI also recently warned that crypto could lead to the dollarization of the Indian economy.


The governor believes that the Indian government shares the central bank’s stance on crypto. “We have conveyed our position to the government and they will take a considered call,” the central bank chief noted. “I think the utterances and statements coming out from the government are more or less in sync. They are also equally concerned.”


Das was also asked about the statement made by Brian Armstrong, the CEO of cryptocurrency exchange Coinbase, who claimed that Coinbase India disabled payments by the Unified Payments Interface (UPI) days after launch due to “informal pressure” from the RBI.


“I would not like to react on speculative observations made by individuals outside,” the governor replied.


The Indian government has been working on cryptocurrency legislation for quite some time. Finance ministry officials have been consulting with the International Monetary Fund (IMF) and the World Bank on crypto regulation. Indian Finance Minister Nirmala Sitharaman said in April that the decision on crypto regulation will not be rushed.


Meanwhile, cryptocurrency income is currently taxed at 30% in India, and a 1% tax deducted at source (TDS) will start levying on crypto transactions in July. Tags in this story crypto market crash, crypto market downturn, Crypto regulation, Cryptocurrency regulation, LUNA, RBI, rbi bitcoin, rbi crypto, rbi cryptocurrency, Shaktikanta Das, Terra, upi, UST


What do you think about the comments by the RBI governor? Let us know in the comments section below. Kevin Helms


A student of Austrian Economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open-source systems, network effects and the intersection between economics and cryptography. Bitmex Co-Founder Arthur Hayes Avoids Prison for Violating US Bank Secrecy Act REGULATION | 1 day ago CFTC Chairman Confirms Bitcoin, Ether Are Commodities REGULATION | 1 day ago


Image Credits: Shutterstock, Pixabay, Wiki Commons Previous articleVeteran Investor Jim Rogers Optimistic About Future of Crypto Money Next articleCrypto Firms Launch Community-Powered Scam Reporting Platform ‘Chainabuse’ Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Read disclaimerShow comments More Popular NewsIn Case You Missed ItFidelity Investments Launches Crypto, Metaverse ETFs — Says "We Continue to See Demand"


Fidelity Investments, one of the largest financial services firms with more than $11 trillion under administration, is launching exchange-traded funds (ETFs) focusing on the crypto ecosystem and the metaverse. "We continue to see demand, particularly from young investors, for access ... read more.SEC Risks Violating Admin Procedure Act by Rejecting Spot Bitcoin ETFs, Says Grayscale Bill ‘On Digital Currency’ Caps Crypto Investments for Russians, Opens Door for Payments Australia to List Bitcoin ETF After 4 Clearinghouse Participants Commit to Meet Stringent Margin Terms Ethereum Foundation"s Financial Report Discloses It Holds $1.6 Billion in Assets, 80.5% Held in Ether

News Feed

Dvision Network Bringing a New NFT Experience on Enjin Blockchain Network
Dvision Network Bringing a New NFT Experience on Enjin Blockchain Network sponsored Dvision Network has emerged as one of the fastest-growing NFT and blockchain g
Open Metaverse Alliance OMA3 Launches to Develop Standards for an Interoperable Digital World
Open Metaverse Alliance OMA3 Launches to Develop Standards for an Interoperable Digital World The Open Metaverse Alliance, OMA3, was launched by a group of Web3 dedicated companies
St. Kitts and Nevis to Explore Possibility of Making Bitcoin Cash Legal Tender by March 2023
St. Kitts and Nevis to Explore Possibility of Making Bitcoin Cash Legal Tender by March 2023 St. Kitts and Nevis will explore the possibility of making bitcoin cash legal tender by
Turner Wright5 hours agoSam Bankman-Fried backed out of FTX sponsorship deal with Taylor Swift: ReportThe report contradicts the narrative from many media outlets that Taylor Swift’s team had done its due diligence in
Dogecoin Uptrend Intact? Expert Analysis Sparks Bullish Buzz
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and pu
US senators introduce new stablecoin bill
Turner Wright7 hours agoUS senators introduce new stablecoin billFor months, Senators Kirsten Gillibrand and Cynthia Lummis had hinted that they were preparing legislation to establish guardrails for stablecoin issuers a
Bitcoin, Ethereum Technical Analysis: ETH Nears $3,000 to Start the Weekend 
Bitcoin, Ethereum Technical Analysis: ETH Nears $3,000 to Start the Weekend  Ethereum rallied on Saturday, as the world’s second-largest cryptocurrency moved closer to the
KuCoin Exchange Named the Best Cryptocurrency App of 2022: Everything You Need to Know
KuCoin Exchange Named the Best Cryptocurrency App of 2022: Everything You Need to Know press release PRESS RELEASE. Leading personal financial services’ evaluator, the Ascent
Survey That Asks if The Merge Could Cause an Ethereum Chain Split Sparks PoS Delay Discussions
Survey That Asks if The Merge Could Cause an Ethereum Chain Split Sparks PoS Delay Discussions While there’s 50 days left until the week of September 19, the crypto communit
Best Crypto to Buy as Polymarket Nears $1B Valuation & BitGo Hits $100B in Crypto Custody
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and pu
London Stock Exchange to launch crypto ETNs on May 28
Zhiyuan Sun5 hours agoLondon Stock Exchange to launch crypto ETNs on May 28“Crypto ETNs admitted to trading on LSE are only appropriate for professionals,” the exchange wrote.3995 Total views4 Total sharesListen to a
Amaka Nwaokocha13 hours agoRobinhood eyes European expansion amid Q3 revenue dropRobinhood attributed the decline in its transaction-based revenue to reduced cryptocurrency trading volumes on the platform.1187 Total view