Cryptocurrencies to be legalized in India as per HDFC Report

HDFC bank is considered to be India’s largest banking institution. It has recently accepted the growing trend of cryptocurrencies in the market. With HDFC’s support of cryptocurrency, it only seems to be a matter of time that Indian investors will have legal access to digital asset payments and cryptocurrencies.

Abheek Barua, the chief economist who heads the bank’s treasury team has recently published a report, “Cryptocurrencies: Fad or Forever?” The report reflects the views about the development of cryptocurrency in the Indian market.

Furthermore, the report published by HDFC mentioned how cryptocurrencies serve as a hedge against the other asset classes. The concern, for now, is in regard to the volatile nature of cryptocurrencies. The report also stated that even global banks are thinking of investing in these asset payments.

There has been uncertainty in the Indian market for the acceptance of cryptocurrencies. Last year, in March 2020, the Indian Supreme Court had lifted the earlier ban on cryptocurrency giving investors the hope of investing in the trend of cryptocurrencies. Today, investors from the Indian market too have participated and shown their support towards the asset payments.

Reserve Bank of India (RBI), the Central Bank of India however has shown no support towards the growing cryptocurrencies. The volatile nature of asset payments has been a major concern even for RBI. Along with HDFC, ICICI, Yes Bank, Paytm are planning to invest in cryptocurrency. While the Indian government is in the process of having a draft bill for the digital assets.

Also Read: New rules for Cryptocurrency, says Hong Kong treasury chief