Speaking to CNBC TV 18 today, Nirmal Sitharaman clarified that the government is still voicing its opinion on cryptocurrency and will take a calibrated stance. The remarks suggested the government could not impose a total cryptocurrency ban.
“There are a lot of negotiations and discussions going on with the reserve bank because the Supreme Court order made it very clear that the government had to take an appeal on this matter. We take with Reserve Bank. I’m not sure until cabinet takes a call. I am not sure I want to give an idea of what is in it. Obviously the RBI will ask what kind of official currency the cryptocurrency should be planned and how it should be regulated, “said Finance Minister Nirmala Sitharaman. The Supreme Court in March 2020 overturned a ban on the RBI on cryptocurrency-related payments.
“But we also want to make sure that there is a window available for all kinds of experiments that will need to take place in the crypto world. It’s not like we’re going to look inside and say we won’t have any of that. There will be a very calibrated position. Mixed messages cross the world. I don’t think there is a full go this way or that way in this matter. We will have to take a very calibrated position. The world is changing rapidly thanks to technology. We can’t pretend we don’t want it. At the same time, we must recognize that with fintech, we have paved the way. A lot of countries are looking at us for fintech based steps and the kind of stuff we’ve done in the payment duniya, ”she said.
Sitharaman then summarized his remarks by stating that the government is open to experimentation. “I can only give you this clue that we are not closing our minds. We are definitely looking for ways in which experimentation can take place in the digital world and cryptocurrency, ”she added.