The Reserve Bank of India (RBI) has known to ban Cryptocurrency trading accounts in India. But Recently it has formed a Research team to study technologies like Blockchain, Cryptocurrency, and AI.
According to EconomicTimes, this behavior is due to the emerging market in cryptocurrency and blockchain technology. The research team formed by the RBI will be able to analyze these technologies and draft rules accordingly. This will also help them to organize these technologies to implement the regulation in the future.
The Research Team has started working for a month now and a chief general manager is leading this team. Also, There is no official announcement made by RBI regarding the team.
“As a regulator, the RBI also has to explore new emerging areas to check what can be adopted and what cannot. A central bank has to be on top to create regulations. This new unit is on an experimental basis and will evolve as time passes,” said one of the sources.
Recently we have seen several countries regulating cryptocurrency and adapting to it. After looking at this development RBI might have taken the decision to form this research team in order to learn about blockchain and cryptocurrency which will be useful for future regulation.
But as for now the ban on cryptocurrency trading which was issued by RBI still is valid. So this news might be a good news for cryptocurrency traders in India but they are still waiting for the ban on cryptocurrency trading to end.
Apart from the Cryptocurrency, Blockchain technology is being used in many sectors in India. Some states in India are using Blockchain technology in an aim to digitize the governance. This shows that there are several areas where the development of blockchain technology is taking place in India.
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