Indian Finance Minister calls for responsible use of digital currency
- The Indian Finance Minister stressed the need for proper regulation and government support in the cryptocurrency market.
- The Reserve Bank of India is testing its own retail and wholesale bank tokens for cross-border payments.
- India plans to introduce cryptocurrency and AI lessons in schools to prepare students for the digital world.
At a recent event in Bengaluru, India, the Indian Finance Minister, Smt. Nirmala Sitharaman declared that India is not against fintech but emphasized that when it comes to digital currency, it should be backed by the government or central bank. According to the Minister of Finance, without their guidance, there is a risk of events like FTX, which have caused huge spillovers around the world.
BREAKING: Indian Finance Minister, Smt. Nirmala Sitharaman says we are not against technology but when it comes to #Crypto or currency it should be driven by government or central bank. Otherwise, there will be more events like FTX.1/2 pic.twitter.com/v4aqn5pJHw
– CoinX (@getkoinx) May 7, 2023
Sitharaman noted that India was one of the first countries to adopt digital currency. The Reserve Bank of India is testing its retail and wholesale banking tokens to facilitate cross-border payments in bulk. While digital currency has great potential, she cautioned that the technology should be used cautiously, responsibly, and only under appropriate regulation.
The Finance Minister stressed that digital currency technology has many other applications beyond just currency and India should take advantage of this to promote collective benefit. She added that the government or the central bank must take the initiative to ensure the stability and security of the digital currency market.
India is still catching up as the world continues to experience the digital revolution. However, the country is allegedly taking a cautious and measured approach to digital currency to avoid the risks of unregulated markets. According to cryptocurrency proponents, other countries need to take a cue from India and regulate the digital currency market to prevent the chaos we witnessed in the past.
The South Asian country also plans to introduce lessons on cryptocurrency and artificial intelligence in some school curricula starting next academic year. This step aims to prepare students for the digital world and keep abreast of technological developments.
India’s finance minister followed calls for the responsible use of digital currency for the first time in issuing the coin.