Shaktikanta Das, the governor of the Reserve Bank of India, warned of the next financial crisis that will be impacted by private cryptocurrencies.
The governor said that cryptocurrencies have huge inherent risks for macroeconomic and financial stability.
The central bank pushes to launch its own digital version of the Indian rupee. The India central bank began an operating program for the digital rupee on December 1 for retail use in certain cities, while users can transact using the digital rupee via apps and mobile wallets.
Many central banks around the world are looking to make the digital currency version of their own, and the digital rupee is a design of the central bank of India digital currency (CBDC).
The central bank has said many times that cryptocurrencies are not a main risk to the economy, when it acts on a smaller asset class, but its growth that has not been in control has an impact on the potential macroeconomy.
According to the U.S Treasury Department’s statement in October, crypto-asset activities could pose risks to the stability of the U.S. financial system and regulation is required.