System audits are important and cryptocurrency can be a threat to it. This has been a fear of many regulators across the world. This is the same concern former RBI deputy governor Viral Acharya raised during ‘The Future of Banking’ webinar series.
He said this while addressing the question on cryptocurrency. He said, “Going down the path of cryptocurrency might be a mistake, it will fragment some of the information access. System audits are very very important.”
He added further while other forms of payments exist, there is no need for cryptocurrency.
In the past, the Reserve Bank of India (RBI) Governor Shaktikanta Das had also expressed his displeasure about cryptocurrencies. He said that while RBI is not very open about cryptocurrencies, it is very much interested in blockchain technology which is the backbone of cryptocurrencies.
Recently, Indian billionaire investor Rakesh Jhunjhunwala stated that he will never buy Bitcoin in his life. He added it is speculation of the highest order and doesn’t want to join every party in town.