Archive · 14 Dec 2025
RBI's Caution on Stablecoins and Crypto
The Reserve Bank of India (RBI) has been warning people about the risks of using cryptocurrencies since 2013.
These risks include financial, operational, legal, customer protection, and security issues.
In India, cryptocurrencies are not banned, but they are not considered legal money either.
The government has started taxing cryptocurrencies at 30% when they are sold or traded.
This means that while you can use them, the government does not support them as official money, and you have to pay taxes if you make money from them.
RBI has issued repeated warnings about the risks of cryptocurrencies since 2013.
Cryptocurrencies are not banned in India but are not recognized as legal tender.
A 30% tax on the transfer of virtual digital assets (VDAs) was introduced in the Union budget of 2022-23.
The RBI's stance includes concerns about financial, operational, legal, customer protection, and security risks.
Cryptocurrencies sit in a regulatory grey area in India.
- Who
- Reserve Bank of India (RBI)
- What
- Cautionary stance on stablecoins and cryptocurrencies
- When
- Since 2013, with recent tax implications in 2022-23
- Where
- India
- Why
- Due to potential financial, operational, legal, customer protection, and security risks.
- RBI's Stance on Cryptocurrencies
- Repeated warnings since 2013 about financial, operational, legal, customer protection, and security risks.
- Regulatory Status in India
- Cryptocurrencies are not banned but not recognized as legal tender.
- Taxation on Cryptocurrencies
- 30% tax on transfer of virtual digital assets (VDAs) introduced in the Union budget of 2022-23.