Odaily News Reserve Bank of India Governor Shaktikanta Das reiterated his cautious stance on cryptocurrencies, saying they have the potential to destabilize the financial system. Speaking during the Peterson Institute for International Economics' 2024 Macro Week, Das said cryptocurrencies were created to bypass the traditional financial system. The fundamental question is whether authorities or governments are willing to accept privately issued cryptocurrencies that have all the characteristics of currency. He believes that issuing currency has traditionally been a sovereign function. Allowing cryptocurrencies to flourish could take parts of the economy out of central bank control, a shift that could lead to monetary instability. He further elaborated on the risks, particularly how cryptocurrencies can undermine the central bank's ability to manage money supply, which is critical to controlling inflation and managing economic cycles. "If the central bank loses control of the money supply in the economy...how can banks check the available liquidity in the system?" Das stressed that if cryptocurrencies prevail, the financial and monetary system could be in turmoil.