Reserve Bank of India (RBI) Governor Shaktikanta Das reiterated his positive stance on the Reserve Bank Digital Currency (CBDC). While highlighting the potential effectiveness of the Indian Digital Rupee, Das stated that this development could be used to prevent uncertainties related to cryptocurrencies.
CBDC vs. Cryptocurrencies
President Das stated that he is a long-time supporter of the Indian Digital Rupee. The President re-underlined his distant attitude towards crypto, saying, “CBDC has an important role in preventing the environment of uncertainty created by cryptocurrencies.” He also stated that CBDC could be a more stable and controllable digital currency for India. In this situation, Bitcoin 
$64,586 and Ethereum 
$2,526 He argued that it could reduce the volatility and risks of other cryptocurrencies such as.
Das called for reducing the costs and processing times of international money transfers, highlighting the digital rupee’s work to modernize cross-border payments.
“Remittances are vital for developing economies like India.”
CBDC and Artificial Intelligence Risks
Das said CBDC could enable faster and more efficient cross-border peer-to-peer payments. It also said India plans to expand its 24×7 real-time gross settlement (RTGS) system to facilitate transactions in major global currencies such as US Dollar, Euro and British Pound.
“CBDCs present a unique opportunity for India to become a leader in cross-border payments.” –Das
Das added that it would be beneficial to integrate CBDCs into efforts to simplify global transactions.
On the other hand, while acknowledging the challenges of developing a universal CBDC framework, Das also worries about the possibility of misuse of artificial intelligence (AI) in the financial sector. While explaining the details of his concerns, he also stated that although artificial intelligence is powerful, it can make banks more vulnerable to risks such as cyber attacks and data breaches.
RBI Governor Das, who has been making statements about CBDC for a long time, continues his harsh stance against Bitcoin and other altcoins. Still, in July, it was announced that the Reserve Bank of India and SEBI were jointly taking steps towards creating a comprehensive crypto policy for the country.
As a result, the benefits that CBDC can bring to the Indian economy and minimizing the risks posed by cryptocurrencies can play an important role in strengthening the country’s digital financial infrastructure. However, while this situation pleases Das, it opens the door to a bad scenario for the general markets as it may negatively affect the cryptocurrency demand in the region.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that crypto currencies carry high volatility and therefore risk, and should carry out their transactions in line with their own research.
