Context:
RBI has stated that overuse of crypto assets will, in turn, weaken the impact of monetary policy, aggravate fiscal risks, and deprive real economy activities of resources required to finance them.
Crypto Assets & Cryptocurrency
Crypto assets are assets issued or transferred using distributed ledger technology (DLT) or blockchain technology. They are a wide range of digital instruments that can represent value or ownership. Crypto assets include cryptocurrencies.
Cryptocurrency (or virtual currency) is likely the most well-known type of crypto asset. Cryptocurrency is a digital currency or medium of exchange. It can be used To exchange for products or services, like fiat currency (such as Canadian dollars or US dollars)
Highlights:
- Bitcoin price increase has increased more than two folds at 2024 raising the market capitalization of Stablecoins.
- Stablecoins, a type of cryptocurrency designed to maintain a stable value by being pegged to a reserve asset like the US dollar
- RBI survey says that the cloud computing and AI/ML are the two emerging technologies most adopted by Indian banks.
- AI and ML are closely related technologies that are used to create machines that can mimic human intelligence and learn from experience.
- Application
- AI/ML is mainly employed for customer service, sales and marketing, risk management, and KYC processing.
- Application
- Cloud computing
- It is the delivery of computing resources, like storage, databases, and software, over the internet. It allows users to access these resources on-demand, without having to buy and maintain their own physical infrastructure.
