New Delhi: There is a worldwide craze for crypto or digital currency and its native version will be introduced in India in the next financial year starting 1 April, which will reflect the digital form of currency prevailing from the physical form.
According to the general budget presented in Parliament by Finance Minister Nirmala Sitharaman on Tuesday, this currency, called ‘Digital Rupee’, will be issued by the Reserve Bank in digital form and can be replaced with physical currency.
CBDC is a digital or virtual currency
The regulation governing the digital currency (CBDC) of this central bank is yet to be finalized. CBDT is a digital or virtual currency, but it cannot be compared with private virtual currency or cryptocurrency, which have increased rapidly in the last decade. Private digital currencies do not represent the liabilities of any individual, as they do not have an issuer. They are definitely not currency.
The RBI is strongly opposed to private cryptocurrencies, as they can have an impact on national security and financial stability.
The digital economy will get a boost with the introduction of CBDC
Finance Minister Nirmala Sitharaman said in her budget speech that the introduction of CBDC will give a big boost to the digital economy. A more efficient and cheaper currency management system will come into existence from digital currency. Digital currency will use blockchain and other technology.
