In a recent address, former RBI Executive Director G. Padmanabhan has called on the Indian government to establish a definitive position on stablecoins. His remarks come ahead of the Global Fintech Festival 2025, highlighting the urgency of regulatory clarity in the evolving financial landscape. The publication provides the following information:
Importance of Private Discussions
Padmanabhan emphasized the importance of private discussions between the government and financial regulators to address the complexities surrounding stablecoins. He cautioned that without clear regulations, stablecoins could lead to the same level of uncertainty that has plagued private cryptocurrencies in India, potentially undermining investor confidence and market stability.
Concerns Among Financial Experts
The former executive's comments reflect growing concerns among financial experts regarding the implications of unregulated stablecoins. As the global fintech ecosystem continues to evolve, Padmanabhan's call for proactive regulatory measures underscores the need for a balanced approach that fosters innovation while ensuring consumer protection.
