No Plan To Start Regulated Cryptocurrency: Government

The government clarified on Tuesday that it has no plans to introduce a cryptocurrency regulated by the RBI. Minister of State for Finance Pankaj Choudhary expressed the government’s opinion in a written reply to a question on cryptocurrencies in the Rajya Sabha. He said that currently cryptocurrencies are completely unregulated in the country and RBI does not issue any cryptocurrencies of any kind.

Work on the Cryptocurrency Bill continues, he said, adding that the traditional paper currency is a legal tender issued by the Reserve Bank as per the provisions of the RBI Act, 1994. A digital version of traditional paper currency is called a Central Bank Digital Currency (CBDC). He said that a bill on cryptocurrencies is currently pending and it has been in the works for over a year now. However, this bill could not be introduced in the monsoon session and the current budget session due to some reasons. Finance Minister Nirmala Sitharaman has also said that the details of this bill will be made public after the approval of the Union Cabinet.