The Supreme Court in India has lifted a restriction on crypto trade. The Reserve Bank of India (RBI), had originally excluded banking services from the use of digital currencies.
Reserve Bank of India’s attempt to ban crypto-currencies failed
The Reserve Bank of India had made every effort to prohibit the trading of crypto assets by individuals and corporations. The campaign began in April 2018 with a circular instructing banks and businesses not to trade in digital assets. Now the restriction has been lifted, according to an Economic Times report.
Dispute had dragged on for several months before the Supreme Court
Regulated exchanges and service providers already active in the industry were accordingly requested to leave the existing ecosystem within three months. The Internet and Mobile Association of India had argued and clearly stated that trading in digital assets was a legitimate business activity under the Indian Constitution. As a result, RBI defended its action and brought the matter before the Supreme Court. The proceedings lasted several months.
Central bank lacks authority to ban crypto assets
According to US intelligence agency Bloomberg, a three-member panel of judges headed by Judge Rohinton F. Nariman has approved the petitions of crypto stock exchanges, start-ups and industry bodies. The reasoning is based on the fact that the central bank has no authority to ban crypto assets. The report also mentions that the country’s Supreme Court is currently hearing another case concerning crypto-currency regulations. The ruling in the current case should significantly weaken the argument for strict standards.
Binance has recently acquired a crypto stock exchange in India
The crypto currency exchange Binance has also already announced on Twitter that it will support the services of the crypto exchange WazirX in India and enable the more than one billion inhabitants to enjoy the freedom of money. Binance had recently acquired the Indian company. WazirX users can now buy and sell crypto-currencies with the Indian currency on the Binance Fiat Gateway.