Reserve bank of india governor Shaktikanta Das on wednesday warned that if private cryptocurrencies are allowed to flourish in any country in the world, the crypto market would inevitably lead to the next financial crisis. Shaktikanta Das has also warned that it may pose a threat to the country's economic and financial stability. The world has been discussing the impending financial crisis for the past few months. The impact is expected to last till 2023.
In this situation, the governor of the bank OF INDIA' target='_blank' title='reserve bank of india-Latest Updates, Photos, Videos are a click away, CLICK NOW'>reserve bank of india Shaktikanta Das has reiterated his warning about investing in cryptocurrencies and has warned that it is a cryptocurrency that will trigger the next financial crisis in the world. Reserve bank governor Shaktikanta Das Cryptocurrency trading and investment are all 100% speculative. And he is still of the opinion that it should be banned.
Take note of what he is saying. Private cryptocurrencies are built with the intent of bypassing or disrupting the existing financial exchange system. The creators of private cryptocurrencies don't trust the world's central bank currency, the regulated financial world, and their goal is to bypass the system. It's all about winning, said Shaktikanta Das while speaking at a banking event. Stating that the collapse of the FTX platform and the fraud at the company are proof of the impending financial threat, Shaktikanta Das said that FTX was a 32-billion worth cryptocurrency exchange before it went bankrupt in November. Today's valuation scares us. The market valuation of private cryptocurrencies has fallen from $190 billion to $140 billion. The market capitalization of leading crypto tokens like Bitcoin suffered the worst fall in november 2021, falling from $3 trillion to $2 trillion.
Private cryptocurrencies have no underlying assets, and no reliable evidence of what public purpose they serve, so they are speculatively invested in and fluctuate in price. Shaktikanta Das has said how can it be brought into the official financial market. Ever since the introduction of cryptocurrency in india about 10 years ago, it has been closely monitored by the Reserve bank and the central government. The Reserve bank banned cryptocurrencies in 2018. 
In 2020, the supreme court deregulated cryptocurrencies, leading to over-investment and the market rocketing in India. However, the central government's introduction of a 30% tax on private cryptocurrency trading profits this year has reduced trading volume and investment.
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