RBI Planning To Have India's Own Cryptocurrency

Cryptocurrencies have mostly been perceived controversial. Hence, Cryptocurrencies and related activities have recently been banned in India. Surprisingly, the Reserve Bank of India is in plans to launch its own digital currency as it seems to be a sovereign mandate. 

In July 2019, a report was submitted by the Inter-Ministerial Committee (IMC) on the ban of privately owned digital currency. The reason for this was the technology possessing huge challenges and money laundering, as stated by the governor of RBI, Shaktikanta Das.

The move demolished crypto-startups and this in turn affected the employment space. Major startups that had adverse effects were  Zebpay, Koinex, and Coinome.

Presently, there came an unexpected announcement of RBI developing its own digital currency. Possibly, the reason might be the urgency to go hand-in-hand with other countries introducing their own digital currencies. Countries like China and Russia are developing their own cryptocurrencies. While Dubai, Venezuela, and a few other countries have already made their plans official. The status of development is in the seed stage though! The pace of the project might also be slow given the existing level of technology adoption by the central bank.

The government of India is very particular about the issuance of cryptocurrency and holds severe punishments to those who do not abide by the rules.

The biggest question mark is for global firms like Facebook and JP Morgan Chase who have been working on the digital currency intending to step into the Indian market.