India considers banning cryptocurrencies while promoting the adoption of CBDC digital rupee

ChainCatcher news, the Indian government is weighing a ban on private cryptocurrencies like Bitcoin while actively promoting the adoption of Central Bank Digital Currency (CBDC). According to the Hindustan Times, Indian regulators are inclined to implement a cryptocurrency ban after consulting with several key institutions.

Reports indicate that India's attitude towards cryptocurrencies has undergone several reversals. In 2018, the RBI banned banks from processing cryptocurrency transactions, which was overturned by the Supreme Court in 2020. In November 2023, RBI Governor Shaktikanta Das emphasized the potential risks of cryptocurrencies to the Indian economy, supporting CBDC as a safer alternative.