Union Minister of Commerce and Industry Piyush Goyal, Ambassador of India to Qatar Vipul and others in the course of the launch of India’s UPI at Lulu Hypermarket, in Doha, Qatar on October 7, 2025. Photo: X/@PiyushGoyal through PTI
The transfer goals to make monetary transactions sooner, safer, and extra clear, whereas lowering paper use within the financial system.
Mr. Goyal defined that the digital foreign money will perform like conventional cash, however in an digital type. “India has additionally introduced that we’ll be popping out with a digital foreign money which will likely be backed by the Reserve Bank of India assure like regular foreign money,” he stated.
Comparing it to the “steady cash” launched within the United States underneath the GENIUS Act, the Minister acknowledged that the brand new system will facilitate transactions extra simply and effectively.
He famous that the initiative will convey a number of advantages. “It will solely make it simpler to transact. It will even scale back the paper consumption and will likely be sooner to transact than the banking system,” Mr. Goyal stated.
The system will use blockchain know-how, guaranteeing transparency and traceability. According to the Minister, this can assist in curbing unlawful transactions, as each digital transaction might be verified by way of the system.
Addressing the difficulty of cryptocurrencies, Mr. Goyal clarified that whereas India has not banned them, the federal government doesn’t encourage their use. “We haven’t been encouraging cryptocurrency, which doesn’t have sovereign backing or which isn’t backed by belongings,” he stated, stressing the dangers related to unregulated digital belongings.
He defined that privately issued cryptocurrencies, like Bitcoin, function with none official assure. “There’s no backend guaranteeing any worth,” he stated.
“Suppose tomorrow there’s no purchaser, there’s no person to ensure.” Mr. Goyal additionally identified that the federal government has imposed heavy taxes on such belongings. “It’s a factor you are able to do at your individual danger and value. The authorities doesn’t encourage or discourage. We solely tax it,” he acknowledged.
The Minister underlined that India’s digital foreign money will likely be basically completely different from non-public cryptocurrencies as a result of it is going to carry the complete backing of the Reserve Bank of India. This, he stated, ensures safety and reliability for customers whereas sustaining the integrity of the monetary system.
Published – October 07, 2025 12:34 pm IST
Leave a Comment