Although bear market in crypto world is extending, yet many fiat currencies are facing the threat of destabilization. This is mainly because of innovative usage of blockchain technology. Many financial institutions and banks are adopting digital currency. Also, the financial experts are saying that cryptocurrencies are the future of world economy.
Here, it is pertinent to mention that more than hundred banks and financial institutions have joined Ripple’s platform. Similarly, many countries are planning to launch their own cryptocurrencies. The objective behind this is to revolutionize the businesses. This is because blockchain technology is extremely useful for efficient processing of cross-border transactions.
Experts are stressing on wider adoption of cryptocurrencies. They are of the view that prolonged bear market in cryptocurrency world is due to limited reach of crypto tokens. This is why many countries around the world are planning to launch their own crypto tokens to save their fiat currencies.
Today, a similar report about Indian rupee has surfaced the media. The Quartz report says that Indian government committee considers wide adoption of cryptocurrencies a threat for their fiat currency. Cryptocurrencies, if used as a mode of payment, may destabilize the rupee.
Here, it is noteworthy that Indian Economic Affair Secretary leads the government panel. Nowadays, Subhash Chandra Garg is leading this panel. Subhash has also remained the Executive Director of World Bank. The Indian government has set up this panel in 2017 to probe into the economic affairs of the country.
NB: Interested In Mining Bitcoin And Other Cryptocurrencies for Profit? Now, You Can Mine Better, Faster and Smarter for More Profits With The Ready to Use, "High Performance", and Approved IQ Mining BTC Cloud Service For Miners. With This Mining Service, You Will Get Up to 128% Yearly ROI from Mining Bitcoins Alone Without Having to Buy Any Expensive Mining Hardwares and Softwares! Not Only That, You Will Get Your First Payout the Next Day After Buying a Plan With IQ Mining. You’re Also Given a Dedicated Account Manager After You Buy A Plan Who Will Help You With the Best Pool Allocations and Account Setup Plans To Get the Most Out of Your Purchase.
A reliable resource reports that the committee has concerns over the wider adoption of Bitcoin or other cryptocurrencies. No one can guess the real impact of cryptocurrencies on financial ecosystem. Any discussion in this regard cannot convince the committee to use these currencies as a mode of payment.
The Bank of International Settlements (BIS) has already warned the governments about the negative impacts of cryptocurrencies. In March 2018, the bank had suggested the authorities to monitor the digital currencies regularly. It even opposed the central banks issued digital currencies because these may also destabilize the fiat currencies.
Rahul Raj, the founder of Koinex, negates the concerns of government committee over impact of digital tokens on fiat currency. Koinex is an Indian cryptocurrency exchange which offers support for various crypto tokens. He says that thinking of impact of digital currencies on fiat currency is premature at this stage. This is because cryptocurrency usage is limited in the country. He advises the committee not to worry about it until their adoption reaches the level VISA and Mastercard have achieved.
In last December, the same panel suggested a legal framework within The Reserve Bank of India (RBI). It suggested a complete ban on cryptocurrencies in the country. A month later, a report surfaced the media that the government committee wants to legalize the cryptocurrencies in the country.
RBI started the experiments on crypto-rupee plan in following January. But, due to unsatisfactory performance of stablecoins; it gave up this experimentation. Here, it is worth mentioning that an interdepartmental group had studies the stablecoins.
The real debate on adoption of cryptocurrencies started in April 2018. The Reserve Bank of India (RBI) refused to provide banking services to individuals involved in cryptocurrencies. Crypto related businesses in the country filed a suit in Supreme Court against the bank. The court has not still given its verdict on the case.
Earlier, we have heard that Venezuela has issued its own cryptocurrency. Many other countries are also planning to launch their own virtual currencies. Also, the companies like Amazon are also working on the launch of cryptocurrencies. Saudi Arab and UAE are also testing the cryptocurrency. Similarly, many tech giants are also developing crypto apps. The objective is to enhance the reach of crypto tokens.
Help Us Fight Scams. Please Donate to Support Our Work. No Amount is too Little or too Big. Thank You..
February 8, 2019 By Ghazanfar
The phrase ‘Necessity is the mother of invention’ seems true for Iran. This is because Iran has unveiled its own...
February 8, 2019 By Ghazanfar
In spite of long bear market, Bitcoin transactions per day are increasing. Today the level of these transactions has touched...
February 4, 2019 By Ghazanfar
Although bear market in crypto world is extending, yet many fiat currencies are facing the threat of destabilization. This is...
February 4, 2019 By Ghazanfar
In spite of mix signals from the cryptocurrency world about the future of cryptocurrencies, many countries are planning to test...
February 3, 2019 By Ghazanfar
The idea of Bitcoin adoption as an international currency is not at all new. Over the years, many financial experts...
February 2, 2019 By Ghazanfar
Bitcoin’s entry into the longest ever bear market in history is one of the most burning issues of today. The...
Valforex.com cannot be held liable for any damages incurred due to the usage of any information displayed on this website. The information and trading guides found on the website constitute the authors’ opinion only. Both Forex and Binary options involve high-risk and are not suitable for all investors. Either Forex or Binary options may not be legal in your jurisdiction. It’s visitors’ responsibility to make sure these entities are legal in their jurisdiction before engaging in trading activity… Read More