Referring to global concerns towards growing influence of cryptocurrencies, International Monetary Fund (IMS) Chief Economist Gita Gopinath cautioned that it is not wise to ban such currencies, but she stressed the need to evolve a global policy towards regulating cryptocurrencies.
Gita, who will soon take over as the Deputy Managing Director of the IMF, comments on cryptocurrencies, during her visit to New Delhi, gained significance, in view of the Government of India move to come out with a bill before the Parliament, to regulate cryptocurrencies.
Speaking at an event organized by the National Council of Applied Economic Research (NCAER), she suggested that instead of banning cryptocurrencies, it would be better to bring them under control. She admitted that cryptocurrencies pose a particular challenge to the economies of developing countries.
She also maintained that cryptocurrencies are more attractive to emerging markets than to economies in developed countries. However, she pointed out that developing countries have exchange rate controls. Gita cautioned that cryptocurrencies can affect capital flow controls.
Stating that cryptocurrencies are being used by investors as investment assets, she said that investment rules in those countries should be applied to digital currency as well.
3 Comments
Is it true ??
Nothing doing…. India must ban any form of Crypto Currency…. OR, Indian Govt should make ALL CRYPTO INVESTMENTS to be made THROUGH NOTIFIED INDIAN BANKS ONLY, where the investor must give ALL his details like Aadhar, PAN, address, occupation, source of income, and more importantly his TAX status.
And the profits if any on cryptos should be treated as CAPITAL GAINS as per IT act, how it treats investments in shares… actually tax rate should be more, like how incomes from LOTTERIES are taxed….
Only then, these things can be under check and watch.
This lady came with an agenda…. otherwise, why suddenly all the way from UN coming to India, to give GYAAN to Indian Govt, about what Indian Parliament should do about Cryptos….
It speaks a lot….