Rajeev Chandrasekhar’s Interest towards Digital Currencies Is What the Economy Needs
Rajeev Chandrasekhar, the member of the Bharatiya Janata Party and the Rajya Sabha, is an active tech investor and enthusiast. His role as a tech entrepreneur is well acknowledged and has earned him an honorary doctorate from the Visvesvaraya Technological University, Karnataka.
A week ago he was a guest at the Blockworks Group’s Untold Stories podcast with Charlie Shrem; there he brought up various crypto-related topics and the issue of India’s reaction towards the cryptocurrency revolution, which is grasping nations across the globe. He discussed the regulatory policies related to crypto and the draft bill submitted by a committee of different ministries led by the former Secretary of the Department of Economic Affairs, Subhash Chandra Garg, regarding the ban of cryptocurrencies. He also discussed various banking restrictions which have been imposed by the Supreme Court and the central bank.
This year, on January 2, the police of the state of Jammu and Kashmir had published a report, warning the public against investing in cryptocurrencies because of their “heightened risk” of investments.
The Police issued the declaration citing Bitcoin (BTC) as an example, and also reminded the public that cryptocurrencies are not authorized by the government so dealing in them or investing in them is highly insecure.
The branch’s inspector general stated:
“The general public is informed not to make any type of investment in cryptocurrencies, virtual currencies such as Bitcoin because there is a real and heightened risk associated with them.”
The inspector general also mentioned the crypto market could see a sudden crash and stated that the crypto market could witness a “sudden and prolonged crash, exposing investors; especially retail consumers who stand to lose their hard-earned money.”
While the Reserve Bank of India is yet to announce its response to the demands forwarded by the Supreme Court, the leaders of the judiciary system have been instructed to approach the officials linked to various exchanges; among which, many were forced to cease operations due to the blanket ban.
Next week, Rajeev Chandrasekhar has announced to organize a meeting with various crypto-enthusiasts to have a healthy and favorable conversation about cryptocurrencies and its industry in India.
“Those of you, who have a view on crypto and believe that there is sufficient room, in the public policy space, for the policies to evolve and be inclusive of innovation, and at the same time, address the security and other concerns. They should just reach out to me.”
He further added:
“[…] India is a fairly vibrant democracy in the sense that you can still approach people like me, and evolve an alternate view and have that alternate view be discussed, narrated, and debated within the government. I can do that, you know, I’d encourage you to reach out to me.”
He had previously requested the government and the central banking authority to develop a framework to handle the emerging trends of digital investments. He wrote a letter detailing some of the issues expected to appear as the country moved towards digitization of the economy. He had also highlighted the need for the transformation of the payments and banking ecosystem.
Last month, at the supreme court’s hearing against the RBI ban, the court gave RBI two weeks to answer the copy filed by the Internet and Mobile Association of India (IAMAI) regarding standards crypto exchanges could adopt. The hearing is scheduled to reopen on Sept. 25.
The RBI has also commented on its speculated-plan to launch a national cryptocurrency, the “Crypto-rupee.”
They announced that currently, they had delayed the plans of launching the national cryptocurrency. Earlier, they had also announced their plan to launch a central bank digital currency (CBDC), but so far they have only formed an interdepartmental committee to investigate the likely advantages of a CBDC.