The Reserve Bank of India is apparently launching a new cryptocurrency research group that is set to explore the possibility of new pathways to regulate disruptive technologies. India’s ongoing saga with crypto is well-documented, but what does this news mean for the nation’s crypto industry?
When it comes to mixed signals, double standards and chaos, nobody does it like India. The latest news in regards to the launch of this cryptocurrency research project could be adding another layer of confusion to the madness, but could also be an indication that something is changing.
Indian cryptocurrency research group
This news was recently reported by the Economic Times that the Indian Reserve Bank had put together a new cryptocurrency research group that is dedicated to researching cryptocurrency and blockchain, which could be a sign that the government and regulators are considering a different approach to digital currencies.
It has been well-documented that India had imposed a hardline approach to the use of crypto since early July when state-regulated financial firms were banned from getting involved with crypto exchanges. This pretty much stamped out fiat-to-crypto transactions, although some companies have been finding their way around the regulations.
The new cryptocurrency research unit is under the direct supervision of the Reserve bank of India (RBI) and has been given the task of exploring emerging blockchain technology, and maybe even the possibility of drafting new rules for their adoption at a later date.
An unnamed source in the Economic Times article talked about RBI’s responsibility as a regulator by saying that the RBI “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.”
Immediate future of the Indian crypto industry
It was confirmed by the RBI way back in September 2017 that cryptocurrency research was indeed underway. This has caused widespread criticism as it has taken them so long to offer any form of guidance on the matter. It was established back in April that the RBI had issued the new crypto regulations without conducting the research they promised or without taking advice from any industry experts, which enraged Indian crypto users.
Reports coming out of India in recent weeks have said that the Indian government is considering lifting the current cryptocurrency blanket ban and that new guidelines are already being developed that could be implemented in September. However, if you have been following the ongoing crypto saga in India, you will already know that contradictions are standard.
In terms of crypto trading and exchanges, India’s crypto market is already a mess, but the news that this cryptocurrency research group is planning to explore new possibilities in blockchain tech and how they can initiate widespread adoption is a move in the right direction. Mixed signals, madness and chaos will no doubt ensue over the next few months, let’s hope that calm heads and common sense prevails.
I love everything about crypto. Simply can’t wait to see how blockchain technology changes our world for the better.