After the RBI’s circular to ban all cryptocurrencies and related crypto business in the country, the Supreme Court was approached by the Internet & Mobile Association of India ‘IAMAI.’ Hearing the IAMAI petition on July 20, the Court decided to continue the RBI’s ban thereby giving a future date of Sep. 11 for its final decision. Till then a report by the ministry about the cryptocurrency status in the country has been asked by the Court. The ministry presenting the drafting report would include an interdisciplinary committee under the chairmanship of Economic Affairs.
Much Is Expected From September
As per a local news channel ’New Indian Express’ wrote:
“The Indian Government is likely to issue guidelines on cryptocurrency by September, as the government has finished drafting its regulatory framework for the digital currencies.”
Still Lack Of Clarity Against The BlockChain Technology
The governments judgement regarding crypto regulation in the country is not only important in terms of judgment that is to be pronounced but also to gauge clarity on the government’s stance towards the crypto industry and the Reserve Bank of India’s (RBI) reservations against bitcoin and other virtual currencies. The use of cryptocurrencies in illicit activities is the main concern of the governing making them to think of lifting the ban against digital currencies as it could halt the country’s financial economy very badly. It is speculated that the lack of clarification could be one of the main reasons behind this.
Final Judgement Day
On the last hearing on July 20th, the IAMAI petition against the RBI’s ban was represented by Advocate ‘Gopal Subramanium’ while Advocate Shyam Divan appeared for RBI. As per Divan statement in court, allowing dealings in cryptocurrencies will encourage increased illicit activities in the country.
The supreme court of India was supposed to hear all of the petitions relating to cryptocurrencies on July 20 and give a final decision. However, due to some reports required by the court were not made available by the other government bodies, and hence a further final disposal date of Sep. 11 was issued.