 access to the banking services to those engaged in transactions in crypto assets. Some of the petitioners in the RIT petition who challenged the RBI circular were young high-tech entrepreneurs who had graduated from premier educational institutions of technology in the country. In its statement under challenge, the RBI claimed that technological innovations including those underlying virtual currencies had the potential to improve the efficiency and inclusiveness of the financial system. However, virtual currencies, also variously referred to as cryptocurrencies and crypto assets, raised concerns of consumer protection, market integrity and money laundering among several other issues. Reserve Bank has reportedly cautioned users, holders and traders of virtual currencies including bitcoins regarding various risks associated in dealing with such virtual currencies. In view of the associated risks, RBI decided with immediate effect to not to let the entities regulated by RBI to deal with or provide services to any individual or business entities dealing with or settling virtual currencies. RBI also directed the regulated entities which already were providing such services to exit the relationship within a specific period of time. The statement was then followed by the circular which I just mentioned earlier in my talk. In fact, Reserve Bank had repeatedly through its public notices, even in the past, in December 2013, February 2017 and December 2017, cautioned users, holders and traders of virtual currencies including bitcoins regarding various risks, diverse risks associated with dealing with such virtual currencies. In one of its reports in 2013, incidentally RBI had noted that globally the use of online and mobile technologies was driving the proliferation of virtual currencies and those developments were posing challenges in the form of regulatory, legal and operational risks. It defined virtual currency as a type of unregulated digital money issued and controlled by its originators, developers and used and accepted by members of a specific virtual community and it further noted then in 2013 that the regulators were studying the impact of online payment options and virtual currencies to determine the potential risks associated with these virtual currencies. In June 2014, the financial action task force, an intergovernmental organization established on the initiative of G7 nations highlighted through a report both legitimate users and potential risks associated with virtual currencies. The FATF report defined virtual currency as a digital representation of value that can be traded digitally and functioning as a medium of exchange and or a unit of account and or a store of value but not having a legal tender status, yes that's how they defined the virtual currency, the digital currency. The FATF report also defined cryptocurrency to mean a math based decentralized convertible virtual currency protected by cryptography by relying on public and private keys to transfer value from one person to another and signed cryptographically each time it got to be transferred, that's how they defined cryptocurrency. In June 2015 FATF came up with certain recommendations thereby advising countries to identify, assess and understand risks and to take action aimed at mitigating such risks. National authorities were asked to undertake a coordinated risk assessment of virtual currency products and services predominantly to address the issues to combat money laundering and financing of terrorism, that was the main concern of FATF. By a subsequent report in October 2015 FATF noted that virtual currencies had emerged and attracted investment in payment infrastructure built on their software protocols. These payment mechanisms seek to provide a new method for transmitting value over the internet and at the same time virtual currency payment products and services present money laundering and terrorism financing risks. The FATF made a preliminary assessment of these risks and developed a guidance focusing on the points of intersection that provide gateways to the regulated financial system, in particular convertible virtual currency exchanges.