09 MAR,2020 | MEDC
The Supreme Court recently ruled that the RBI’s ban on banks dealing with the accounts of cryptocurrency traders and exchanges was unconstitutional. This is probably a step in the right direction, as all new technologies and innovations challenge traditional policy, but that is no reason to also overlook their potential benefits. Virtual currencies have the potential to result in more efficient and secure transfers of value. They are also used in many blockchain implementations. Certainly, cryptocurrencies are volatile and a lack of their understanding can lead to heavy losses for players. But that is true for most financial assets. India may not be fully ready for cryptocurrency, but the time has come when virtual currencies need to be introduced in a controlled manner. For the better or worse, India needs to keep up with financial and technological developments in the rest of the world.
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