Indian Supreme Court Overturns RBI Crypto Ban

By Staff Writer

Indian central bank, Reserve Bank of India, has crypto ban has been overturned by the Indian supreme court earlier this week after a two-year legal battle.

Analysts interpret the apex court’s decision as a major victory not only for the digital asset industry but also for the whole fintech industry in general because it would benefit from the more innovation in blockchain technology and digital assets.

There is also race amongst jurisdictions as to how they treat developments in blockchain and cryptocurrencies. They range from blanket in places like China to more measured approach taken by jurisdiction such as Hong Kong and Singapore.

The apex court overturned a 2018 ruling by the Reserve Bank of India, which prohibited Indian banks from dealing with cryptocurrency exchanges on concerns over consumer protection, market integrity and money laundering, amongst others

The RBI “banking ban” was a death knell for exchanges, forcing many of them to shut down or relocate to more crypto-friendly pastures.
Currently, India accounted for roughly 3% of the global crypto market before the ban.
Many crypto exchanges challenged the ban in court, represented by the Internet and Mobile Association of India. The court ultimately agreed, ruling that there had been no visible damage to banks regulated by the RBI and a complete ban on cryptocurrency trading was not “proportionate.”
Crypto fans already coming back into game as the verdict with one exchange Zebpay saying that its servers were down for fours after the verdict because the number of people logging exceeded their estimates.
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