India's 🇮🇳 Cheering up for crypto regulatory ✌🏻

Heyo 😉 Geeks, The crypto market is popularly known for its GG scams 👀 and these scams happen because crypto markets aren't regulated - there is a strong 💪🏻 need for regulation and I'm proud that India's 🇮🇳 rooting for a global regulation.

India 🇮🇳 Heading as the 👑

India recently took charge 👑 as the president of G20. Under its G20 presidency, one of its priorities is to develop a framework for global regulation including the possibility of unbacked crypto assets, stablecoins and DeFi 🏛️

Yesterday 29th Dec - RBI expressed concerns about the burgeoning of the crypto ecosystem and the need for global regulation under one of its recent reports.

The Problems Highlighted in the Report 🔴

The report highlighted a familiar laundry list of crises that struck. the CryptoVerse in 2022 including:-

👉🏻 Crypto's Volatility👉🏻 High Correlation with equities👉🏻 Its Inadequacy as a hedge against inflation👉🏻 Issues with governance

Leverage in Crypto 🚀

Also the Indian 🇮🇳 Governement added - "Leverage is a constant theme running across the crypto ecosystem, making failures rapid and losses huge and sudden".

🔔 Rising prices 🔥 in the ecosystem drive crypto popularity, especially in youngsters 👦🏻

To address potential future financial 💰 stability and to protect ⛑️ consumers and investors. It is important to arrive at a common approach to crypto assets.

Options To Regulation

The report threw 3️⃣ Options for crypto regulations:-

1️⃣ The same-risk-same-regulatory-outcome principle2️⃣ Suggested the possibility of prohibition of crypto assets since their real-life use cases are next to negotiable.3️⃣ Let it implode 💥 without regulatory action was considered too risky for mainstream finance to pursue.

The End Game 🛡️

The RBI ₹ is more bullish on central bank digital currency. It feels so good to see India leading in a better and more powerful way - discussing crypto and web3 at such a big level 💪🏻.

That was today's dose 💊 We'll See you tomorrow with something banger 🔥Web3Shala 👋

To the moon 🚀जय हिन्द 🇮🇳