Finance Minister Nirmala Sitharaman. file | Photo Credit: AP
Union Finance Minister Nirmala Sitharaman on Sunday said the Center will crack down on Ponzi apps to protect investors’ hard-earned money, adding that the issue is under discussion with the Ministry of Information Technology and the Reserve Bank of India.
“There are apps which are coming with promises and many apps are Ponzi apps. We are working with RBI and IT Ministry. We will clamp down on such apps as before so that we do not get hard-earned Ponzi apps. He also said that a strong sense of caution is needed before investing and investors should not do anything based on the experience of others.
Responding to a question whether there was any proposal to regulate social media influencers and financial influencers on digital platforms, the Finance Minister said, “As of now there is no proposal to regulate them. Do your due diligence.
Responding to a question on cryptocurrencies, Ms. Sitharaman said; “Global understanding is needed and a global blueprint may have to be created. We all have to work together. Otherwise regulating crypto may not be effective. But this does mean that we are controlling the technology. It has its own goodness, its own potential and its own strength. We take that into account.”
He added that the Financial Stability Board set up by the G-20 had agreed to give a report on crypto, while the International Monetary Fund has already come out with a paper on crypto. He said, ‘It was India’s proposal and G-20 has kept it in its agenda. The FSB report and the IMF report will be discussed again in July when G-20 finance ministers and central bank governors meet.
“The nature of technology driven crypto requires that all countries be on board. It will not be effective otherwise. In the case of technology driven crypto assets no single country can effectively control it,” he said. Said.
The Finance Minister also said that it was due to stability in policy, government and confidence in the Indian currency that many countries were willing to do business with India in rupees.