RBI keeping a close watch on cryptocurrencies says Urjit Patel

Vastavam web: The Reserve Bank is keeping a close watch on transactions involving crypto currencies, Governor Urjit Patel is understood to have told the members of the Parliamentary panel on finance today.During the more than three-hour long meeting of the Standing Committee on Finance here, the members raised concerns about rising number of transactions in various crypto currencies such as Bitcoin, Ethereum, Zcash, litecoin and NEM. Members, including BJP MP Nishikant Dubey, said rise in usage of virtual currencies is a matter of concern as it is difficult to establish the source of funds.
Responding to the concerns raised, Patel told the members that the RBI is keeping a close watch on such transactions.In April, the finance ministry constituted an inter- disciplinary committee to examine the existing framework for virtual currencies, including Bitcoins, and suggest measures to deal with issues like money laundering.