The Indian Supreme Court has lifted the controversial ban of the Reserve Bank of India (RBI) on banking transactions involving cryptocurrencies.
The judges of the Supreme Court of India: Justices Rohinton Nariman, S Ravindra Bhat, and V Ramasubramanian, made their verdict early today (March 4), according to report of the Live Law litigation news page.
The landmark judgment
The central bank of India (RBI) imposed a ban on banking transactions with cryptocurrency businesses in April 2018, and came into effect in July of that year.
Following the recommendations of the public and the leaders in the crypto industry, a case of combining protests against the Central Bank was brought to the Court by the Internet & Mobile Association of India (IAMAI). Supreme Court. A hearing on the incident was held within two weeks in January of this year.
IAMAI is a non-profit industry organization – whose mission is to call the government on behalf of consumers, shareholders and investors in the internet industry. Members include Yahoo! India, Apple, eBay, Unocoin and Etsy.
According to the Live Law report, the judges ruled that RBI's actions were “inadequate”. The main arguments in this case include the dispute of the bank that cryptocurrency is a means of digital payment and the institution has been “intervened by the law”.
This was met with opposition by IAMAI advisor Ashim Sood, who argued that they might hesitate between serving as a commodity or store of value and as a medium of exchange. Sood said that RBI has no right to ban financial companies from providing services to cryptocurrency-related businesses.
The future of cryptocurrencies in India
This ruling by the court is a landmark move, the regulatory and regulatory environment for cryptocurrencies in India now seems to face a final hurdle. In the fall of 2019, the Indian government chose to postpone the introduction of a bill about potential cryptocurrency bans to parliament during the 2019 winter session.
The bill – called “Prohibition of Cryptocurrencies & Official Regulations for Digital Currency”, is said to not only impose a complete ban on the use of cryptocurrencies in India, but also to paving the way for a “Digital Ruble” issued by the Central Bank of India.
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According to CoinTelegraph
Translated by ToiYeuBitcoin