ChainCatcher message, the outgoing Governor of the Reserve Bank of India, Shaktikanta Das, expects that the digital rupee will fundamentally change the Indian economy and emphasizes the gradual adoption of CBDC.In his farewell speech on December 10, Das discussed India's progress in the development of CBDC, noting that many central banks around the world are still in the preliminary discussion and experimentation stages. He stated, "Among central banks, the Reserve Bank of India is a pioneer, as it remains one of the few central banks to have launched a CBDC pilot project."

ChainCatcher news, according to Jinshi reports, the Governor of the Reserve Bank of India, Shaktikanta Das, stated that the central bank is not in a hurry to launch the central bank digital currency (CBDC), and there is currently no specific release date. He pointed out that the CBDC project is still in the implementation phase. There is a noticeable increase in market interest in central bank digital currencies (CBDC), especially in the area of cross-border payments.

ChainCatcher news, Reserve Bank of India Governor Shaktikanta Das reiterated a cautious stance on cryptocurrencies, stating that they have the potential to undermine the stability of the financial system.Das recently spoke at the Peterson Institute for International Economics' 2024 Macro Week, where he mentioned that the creation of cryptocurrencies is intended to bypass the traditional financial system. The fundamental issue is whether authorities or governments are willing to accept privately issued cryptocurrencies that possess all the characteristics of money.He believes that issuing currency is traditionally a sovereign function. Allowing cryptocurrencies to flourish could detach parts of the economy from central bank control, a shift that could lead to monetary instability.He further elaborated on the risks, particularly how cryptocurrencies could weaken the central bank's ability to manage the money supply, which is crucial for controlling inflation and managing economic cycles. "If the central bank loses control over the money supply in the economy... how can banks check the available liquidity in the system?" Das emphasized that if cryptocurrencies become prevalent, the financial and monetary systems could face chaos.

ChainCatcher news, according to CoinDesk, the Governor of the Reserve Bank of India, Shaktikanta Das, stated that although the number of users in its retail Central Bank Digital Currency (CBDC) pilot has exceeded 5 million, there should be no rush to launch a system-wide CBDC until a comprehensive understanding of the impact of CBDC on users, monetary policy, the financial system, and the economy is achieved.Shaktikanta Das mentioned that currently up to 16 banks are participating in the retail CBDC pilot, but did not disclose the specific number of daily transactions. The RBI had previously stated that there is no urgency to implement a full-scale retail CBDC and has not announced a specific timeline. However, this time Shaktikanta Das hinted that a full implementation might be avoided.

ChainCatcher news, the Reserve Bank of India (RBI) revealed that as of June, there are 5 million digital rupee users and 420,000 merchants participating in the retail Central Bank Digital Currency (CBDC) pilot. The RBI emphasized that the digital rupee aims to complement cash and existing payment systems, serving both wholesale and retail sectors.

ChainCatcher news, according to Jinshi reports, sources reveal that the Reserve Bank of India supports banning stablecoins. The government panel responsible for formulating India's cryptocurrency policy may finalize the report in June.

ChainCatcher news, Reserve Bank of India Governor Shaktikanta Das stated that the bank is working to make its digital currency usable without an internet connection. Das mentioned that the usage of India's CBDC has reached 1 million per day, but people still prefer to use instant mobile payment modes.

ChainCatcher news, an official from the Reserve Bank of India stated to local media that it will continue to take a reserved attitude towards incorporating cryptocurrency into the country's economic framework, and believes that including it as a regulated financial instrument will not bring "benefits" to the economy. The Indian central bank official further stated that cryptocurrencies, due to their inherent volatility and speculative nature, are more akin to high-risk gambling products, a view that aligns with the global skepticism towards the adoption of cryptocurrencies in mainstream finance.It is reported that the Reserve Bank of India's stance is an important consideration for the Indian government in formulating digital currency policy.

ChainCatcher news, according to Reuters citing informed sources, the Reserve Bank of India (RBI) is working with lending institutions to launch new features to promote the central bank's CBDC digital rupee. These features include allowing customers to conduct digital rupee transactions offline and linking the digital rupee with India's Unified Payments Interface (UPI). UPI is an instant real-time payment system that allows users to transfer money between multiple banks without revealing bank account details.The Reserve Bank of India has been urging banks to enable interoperability of the digital rupee with UPI through QR codes. Informed sources say that private lender HDFC Bank is collaborating with technology company IDEMIA to build an offline CBDC transaction version for feature phones.Currently, India's CBDC retail transaction volume averages nearly 18,000 transactions per day, far below the Reserve Bank of India's target of achieving 1 million transactions per day by the end of 2023.

ChainCatcher news, RBI Deputy Governor Rabi Sankar stated at an event that stablecoins pose an existential threat to policy sovereignty and are only useful for a few countries. Sankar mentioned that considering the concerns regarding stablecoins, CBDCs are a better stable solution for every country. Sankar stated, "If large stablecoins are pegged to some other currency, there is a risk of dollarization."At the same time, he expressed concerns about the potential impact of stablecoins on India's capital regulation or monetary policy. "We must be very cautious in allowing such instruments... Based on past experiences from other countries, this is an existential threat to policy sovereignty."

ChainCatcher news, RBI Deputy Governor Sankar stated that he hopes to launch the CBDC in a measured and calibrated manner. (source link)

ChainCatcher news, Mumbai time February 6, 2023, University of California, Berkeley RDI Director, Haas School of Business Finance Professor Christine Parlour, Zonff Partners Partner Harry Zhou, Bain Capital Crypto Policy Researcher Vasu Nigam, and others engaged in discussions with officials from the Reserve Bank of India on topics such as decentralized finance, bankruptcy events in the crypto industry, compliance and regulatory developments, and central bank digital currencies (CBDC).It is reported that this event was initiated by Zonff Partners, approved and supported by the Deputy Governor of the Reserve Bank of India, and chaired by the Chief Legal Counsel of the Reserve Bank of India, Shri Unnikrishnan A. More than 70 officials from various departments within the Reserve Bank of India, including fintech, payment systems, legal, compliance, and inspection, attended the meeting and participated in the discussions.Bloomberg data from December 2022 shows that India has the largest population of daily cryptocurrency users in the world. At the same time, India ranks second in the "crypto adoption index" among 154 countries surveyed by Chainalysis.

ChainCatcher news, Reserve Bank of India Governor Shaktikanta Das recently made strong criticisms of cryptocurrencies in a public speech. The Reserve Bank of India advised the government not to regulate digital assets and thereby legalize them, and should help protect investors from the recent collapse of the industry. He stated: "Digital assets will eventually collapse because they have no intrinsic value... this is purely a speculative product and does not serve any public interest." (Financial Times)

ChainCatcher news, Indian central bank governor Shaktikanta Das stated, "Cryptocurrency trading is a hundred percent speculative activity and should be banned. If we try to regulate it and allow it to grow, the next financial crisis will come from private cryptocurrencies."In addition, Shaktikanta Das mentioned that CBDCs should be adopted instead of cryptocurrencies, as this would reduce the need for printing fiat currency and help expedite international transactions. (source link)

ChainCatcher news, T Rabi Sankar, Deputy Governor of the Reserve Bank of India (RBI), stated that the available data regarding cryptocurrencies is mostly misleading and called for all relevant regulations to be formulated based on a clear understanding of what digital currencies are and what they should do.At a meeting hosted by the International Monetary Fund (IMF), T Rabi Sankar explained, "Cryptocurrency data is not available, and the available data is mostly misleading. Formulating regulations in the absence of sufficient information is likely to lead us to ultimately prescribe the wrong solutions, so it is necessary to collect adequate, reliable, and consistent information."T Rabi Sankar also suggested the establishment of an initiative based on the OECD's framework for crypto asset reporting, to enable member countries to exchange information in real time. (Source link)

Chain Catcher News, the Reserve Bank of India (RBI) recently released a report titled "Concept Note on Central Bank Digital Currency," which discusses several key issues such as technology and design choices, issuance mechanisms, privacy concerns, and the impact of introducing CBDC on the banking system, monetary policy, and financial stability.The RBI stated that it will soon launch a partial pilot for the country's digital currency (digital rupee) targeting specific use cases, testing multiple technological options, and determining the final architecture based on the results. (Source link)