Nirmala Sitharaman Flags Anonymity Factor As Risk In Blockchain Use

Finance Minister Nirmala Sitharaman on Saturday flagged anonymity as an "inherent risk" in blockchain technology and called for taking precaution

Finance Minister Nirmala Sitharaman on Saturday flagged anonymity as an "inherent risk" in blockchain technology and called for taking precaution in future with a rise in the use of this technology.

The finance minister made it clear that using the distributed ledger technology (DLT), which is also called as blockchain, is “absolutely imperative” and the government also supports the use of the same.

The minister's remarks come ahead of the launch of the budgetary announcement of central bank digital currency (CBDC) which is based on the blockchain technology itself and is billed as being similar to the paper currency carried in our wallets.

“The anonymity is what ... one unknown element in this whole thing. The anonymity of the person or whoever or the robot is the one which we have to be absolutely readying ourselves as … a future challenge,” Ms Sitharaman said, addressing an NSDL event here.