The Reserve Bank of India is drawing a distinction between the technology behind tokenization and the crypto assets built on top of it.

At the Fifth Kautilya Economic Conclave in New Delhi on October 3, 2026, Governor Sanjay Malhotra said the RBI supports new technologies that can make the financial system more efficient, but remains cautious about crypto itself. His concern is less about whether innovation is useful and more about what widespread crypto use could mean for money, monetary policy and capital flows.

Why the RBI Is Keeping Crypto at Arm’s Length

Malhotra tied the RBI’s caution to the “singleness of money”, a reference to the idea that money needs a clear and stable place in the financial system. In emerging economies with…