CJ - Cryptocurrency Enthusiast
Governor Shaktikanta Das claims that the financial stability of cryptocurrency is at stake
The value of cryptocurrencies has decreased from 190 to 140 billion, he continues
According to Das, cryptocurrencies have an innate desire to "break" the system
The governor of the Reserve Bank of India (RBI), Shaktikanta Das, has warned that the next financial crisis could be caused by private cryptocurrencies. He stated that the market value of cryptocurrencies has decreased to $140 billion, with $40 billion lost, and that they lack underlying value and are speculative. He also said that they pose risks to microeconomic and financial stability, citing the FXT crash as an example. Das further stated that private cryptocurrencies have no intrinsic value, and their market-determined price is subject to extreme volatility, making them a risky investment.
Despite these warnings, many investors are still looking for opportunities to buy alt coins, as they see the potential for high returns in the future. Cryptocurrency investment platforms and crypto asset management firms can help investors to buy cryptocurrency and navigate the risks associated with the market. These firms offer a range of services including buying, selling, and storing a variety of cryptocurrencies, including Shiba Inu, Binance coin and Dogecoin. Some of these platforms also offer the ability to invest in a wide range of crypto assets, making them ideal for those looking to diversify their portfolio.
While the governor has highlighted the risks associated with private cryptocurrencies, he also emphasized the importance of the Central Bank of Digital Currency (CBDC). The CBDC, unlike private cryptocurrencies, is regulated by the government and can serve as a means of trade, legal tender, and a store of value for those who wish to convert it into bank money or cash. The RBI recently began the first pilot program for the retail digital rupee and selected eight banks as intermediaries for the transactions.
In conclusion, the governor's warning highlights the importance of being cautious when investing in private cryptocurrencies, but it also highlights the potential of CBDCs as a safer alternative. Investors should always do their own research and consider their own risk tolerance before investing in any crypto assets.