The Reserve Bank of India (RBI) first issued a circular in 2018 warning banks from engaging in crypto instruments. But this circular has been withdrawn after the Supreme Court ruling in March 2020. That doesn't mean the central bank has approved the idea in India or banned it. The RBI has repeatedly said it has major concerns about crypto. Even though the RBI hasn't made these concerns publicly, the major worries of the central bank are these: cryptocurrencies are not backed by any assets, these are highly speculative instruments, not centrally regulated and can be vehicles for money laundering due to lack of regulation and compliance to KYC norms.