Speaking at an International Monetary Fund event, Indian Finance Minister Nirmala Sitharaman claimed that the biggest risk of cryptocurrency is that it will be used for money laundering and terror financing.
“I think the biggest risk for all countries across the board will be the money laundering aspect and also the aspect of currency being used for financing terror,” the FM noted while addressing a seminar at the ongoing spring meet of the IMF.
As per the India Today report, the Indian Finance Minister added that regulation using technology is the only answer against these concerns.
“Regulation using technology will have to be so adept, that it has to be not behind the curve, but be sure that it is on the top of it. And that’s not possible if any one country thinks that it can handle it. It has to be across the board,” Nirmala Sitharaman stated.
At the IMF Meet, Sitharaman also applauded the government’s efforts to develop a digital infrastructure framework over the last decade, emphasizing the country’s increased digital adoption rate during the COVID-19 pandemic.
In February, Sitharman said that the decision to ban or not prohibit crypto will be made depending on the results of the consultations that have been going on regarding it. But last month the FM revealed that she sees cryptocurrency as a source of tax revenue because people see a future in cryptocurrencies.
