India’s topmost bank regulator Reserve Bank of India (RBI) has formed a new branch to keep pace with artificial intelligence & blockchain. Although RBI is yet to confirm, sources close to the matter claim that this new branch is barely a month old.
Sources further add that this new branch is operating on a trial basis and will evolve as the time passes. So far no information is available about the functions and how the regulator intends to use this new branch in the long run.
People privy to the matter claimed that RBI wants to be at top of the game in the midst of ever changing technology.
Most analysts have more or less welcomed the move. Analysts argue that any regulator has to ensure that it keeps abreast with emerging trends in order to formulate better policies and regulations for the industry.
Artificial intelligence & blockchain are currently the toast of the global community. Both are widely hailed as breakthrough technologies that are likely to shape all the key sectors & industries. The importance of blockchain holds even more for RBI, since this revolutionary technology is specifically aimed at the banking sector.
While RBI is completely embracing the blockchain technology, the regulator has already turned its back against cryptocurrencies. For people who don’t know, blockchain is a technology that drives cryptocurrency transactions.
India’s top banking regulator has already barred financial institutions from trading in cryptocurrencies. Even Supreme Court recently refused to offer any respite from RBI’s ban decision. Supreme Court’s refusal to offer any respite is widely seen as a huge blow to cryptocurrencies’ future in India.
In the midst of all these drama over cryptocurrencies, blockchain technology is been embraced by almost every important player in the banking sector. Analysts claim that there is a unanimous opinion that it will certainly become a decisive technology in banking sector in coming years.