Reserve Bank of India maintains previous stance on "virtual asset risks"... Continues position despite Supreme Court criticism

While the Supreme Court of India has pointed out the ongoing delay in establishing regulations for virtual assets (cryptocurrencies), the Reserve Bank of India (RBI) has reiterated its intention to maintain its existing stance that virtual assets carry significant risks.

According to Cryptopolitan, a specialized digital asset media outlet, on the 7th (local time), Sanjay Malhotra, Governor of the Reserve Bank of India, stated at a policy briefing, "Digital assets still pose threats to financial stability and monetary policy," adding, "A government committee is currently in discussion, and the central bank's concerns remain unchanged."

These remarks followed the recent public criticism by the Supreme Court of India concerning the government's lack of regulation for virtual assets. The RBI has previously warned of the dangers of digital assets and maintained a conservative attitude. On this day, it once again confirmed its firm stance regarding the cryptocurrency industry.

The outlet reported, "The Indian government has yet to implement clear regulations for virtual assets. It is maintaining a system imposing up to 30% tax on trading profits and a 1% tax deducted at source (TDS)," and added, "Industry insiders argue that such tax policies alone are insufficient to address legal uncertainties and the risk of criminal misuse in the market."