Blockchain advocates have hailed the recent Indian Supreme Court’s pro-crypto ruling as a landmark for adoption and development. Now, new forces are emerging that seek to put the brakes on India’s rapid embrace of cryptocurrency.
COURT RULING DOES NOT FULLY RESOLVE THE ISSUE
The Economic Times of India has published an article outlining the details behind the court ruling, which overturned a Royal Bank of India (RBI) circular prohibiting banks from dealing with crypto exchanges. The author points out that the court did not expressly endorse cryptocurrency. Rather, it concluded that the RBI overstepped its authority, as there is no explicit law against crypto activity. Thus, should the government pass such a law, crypto could once again be restricted.
It is just such a law that the Times now calls for. Specifically, the Times advocates for a law that bans banks from dealing with cryptocurrency for five years. Thus, although some may consider this matter closed, the legal status of cryptocurrency in India remains far from settled. Late last year a draft bill was introduced in the Parliament that would have completely banned blockchain assets, yet it died early. Similar bills will almost certainly come up again. Read More...