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The Reserve Bank of India said that cryptocurrencies should be banned. Union Finance Minister Nirmala Sitharaman said on Thursday that there was greater acceptance among Group of 20 (G20) member countries that any new regulation on crypto assets must be coordinated around the world. “I am pleased to say that there is a greater acceptance among all G20 members that any action on crypto assets will have to be global. I think the G20 responded enthusiastically (on the crypto challenge),” Sitharaman said. Reporters at a news conference after a meeting of G20 finance ministers and central bank governors.
“The G20 and its members agree that it will not be possible to have an independent and autonomous country dealing with crypto assets,” the minister added.
Sitharaman told reporters that the group voluntarily responded to the question. A “summary paper” on crypto-related issues was to be discussed during India's G20 presidency.
India has said it wants a collective global effort to tackle the problems posed by cryptocurrencies like bitcoin, and the finance ministry said in February it had organized a seminar for G20 member states to discuss how to propose a common framework.
In early February, Sitharaman said: “We are following the study process so that there can be an informed discussion. The International Monetary Fund (IMF) and the Financial Stability Board (FSB) have done their own little work on crypto. Now we have I asked them to do the paperwork and deliver it to us and how quickly the IMF and FSB have already delivered that paperwork which will be delivered in time for the July meeting we are moving in that direction so something should be developing
He made the comments when responding to a question about the consensus among G20 countries on crypto assets during India's presidency.
“By recognizing the risks associated with private virtual assets, the G20 countries have taken a further step towards developing a coordinated and comprehensive policy approach to managing crypto assets taking into account macroeconomic and regulatory perspectives,” he said.
The central government of Prime Minister Narendra Modi debated a bill to regulate or even ban cryptocurrencies for several years, but did not make a final decision. The Reserve Bank of India has said that cryptocurrencies should be banned as they are similar to a Ponzi scheme.
