Former RBI Deputy Governor R. Gandhi expressed apprehension that there is a possibility of using this virtual asset for criminal activity in absence of regulation and there are numerous instances indicating that.

• He made a case for treating and regulating crypto as a separate asset class with a view to enabling governments around the world to effectively deal with illegal activities associated with virtual currencies.
• He said, people have fully understood that crypto cannot be a currency because the fundamental element of a currency— that it should be a legal tender— is missing in this case.
• The general consensus among many policymakers is that it should be deemed as an asset, not as a currency, not as a payment instrument and not as a financial instrument as there is no clear identified issuer.
• He said, "Once we have an understanding and acceptance, that it is an asset (not a currency), then it becomes relatively little easier to have regulation around it," he said at a virtual event organised by Internet and Mobile Association of India (IAMAI) and Blockchain & Crypto Assets Council (BACC).
• He expressed apprehension that there is a possibility of using this virtual asset for criminal activity in absence of regulation and there are numerous instances indicating that.