Crypto Threats As Serious As Those Of Dynamite Explosion: Home Minister Amit Shah

The market for cryptocurrencies has grown rapidly in the last few years. However, many countries have also expressed apprehensions regarding this market. Home Minister Amit Shah has described the risk associated with crypto and metaverse as dangerous as the explosion of dynamite. He said that to deal with this, there is a need to create a common strategy at the global level.

Shah while addressing a meeting of G20 Said That the risks associated with crypto and the metaverse are as serious as dynamite explosions or hawala cases. He said that there has been a change in the nature of threats regarding security and this is a matter of serious concern. Shah said, “The old threats to our security are changing. They are changing from the explosion of dianite to the metaverse and hawala to cryptocurrencies. This is a matter of concern for all countries. Will be.” The meeting was also attended by Finance Minister Nirmala Sitharaman and Reserve Bank of India (RBI) Governor Shaktikanta Das.

by the end of this year crypto India can make some headway regarding global laws for the segment. Late last year, the RBI warned that the next financial crisis would come from private cryptocurrencies. RBI had demanded a ban on cryptocurrencies. It believes that there is no value attached to cryptocurrencies and it is a risk to macroeconomic and financial stability. Even before this, there has been a demand from RBI to ban crypto.

The RBI had issued a circular about cryptocurrencies four years ago, prohibiting entities under its regulations from dealing in such instruments. However, after this the Supreme Court had rejected this circular of RBI. The regulatory situation regarding cryptocurrencies in the country is unclear. Inputs are also being taken from the World Bank and the International Monetary Fund (IMF) for the consultation paper being prepared by the government on cryptocurrencies. The fall in cryptocurrencies has weakened the financial condition of many firms in this segment and they have had to take measures like layoffs to reduce their costs.