Regulation

Finance Minister Nirmala Sitharaman’s Opinion on Cryptocurrency Regulation

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Edited excerpts from Finance Minister Nirmala Sitharaman’s views on cryptocurrency regulation.

Q. Your government has opposed cryptocurrency because it believes it is not a stable asset. RBI is on the same page. SEBI is believed to have told the panel on crypto regulation that it should have multiple regulators. What is the situation?

Even before the G20 and since 2020, we had discussed it at the Ministry of Finance. RBI also has its own opinion on this. We are very clear on the need for global understanding on how to regulate crypto.

During the G20 under Indian presidency, we talked about it. We brought in the IMF and the FSB. Well-written articles were submitted. Many discussions took place. I would like to walk the path of global understanding when everyone is on the same page.

Establishing regulations within a single country without a global understanding of a technology that recognizes no borders will be of no use.

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When it comes to cryptocurrency, no country would succeed even if they intended to.

Q. Is there some confusion among regulators where one is against crypto while the other is talking about regulation…

No, these are opinions, there is nothing wrong with that. We haven’t yet reached the point where we say yes, this is what we want to do. At this point, if there were any differences between regulators, that would be a cause for concern. We are far from this situation.

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