Sumary of Raghuram Rajan Says Only A Handful Of Cryptocurrencies Out Of 6,000 Will Survive:
- Former RBI governor Raghuram Rajan on Wednesday said only a “handful” of the 6,000-odd cryptocurrencies in existence today might survive going forward.
- Comparing the craze in cryptocurrency with that of the tulip mania in the Netherlands in the 17th century, Rajan said people hold cryptocurrencies for two reasons — store of value and an asset which might appreciate;
- “That would suggest that most cryptos are unlikely to survive with high values going forward,” Rajan told CNBC-TV18. The remarks come a day after the government listed for introduction in Parliament a bill to ban all private cryptocurrencies, with some exceptions.
- Rajan further said cryptos may pose the same problem as unregulated chit funds which take money from people and go bust.