Indias Crypto Regulations?
According to a local news outlet Inc42, the Indian Supreme Court has granted the government 4 weeks to come up with cryptocurrency regulations.
Since July 2017, cryptocurrency regulation related cases have been pending. On Monday, February 25th, the Supreme Court refused to hear any petitions and review cases. Instead, they informed the Union of India to come up with a cryptocurrency regulatory policy due in 4 weeks. Failure to do so will result in the court to come up with their own judgment.
On April 6th, 2018 the RBI ( Reserve Bank of India) had issued a circular banning all banks/ regulated organizations from dealing with any crypto related companies or coins/tokens. Likewise, exchanges/crypto related entities could not accept rupees as a method of payment.
Shortly after on April 17th, Kali Digital EcoSystems approached the Delhi High Court demanding the Court to remove the order under Articles 19 (1) (g) and 14 of the Indian Constitution.
Article 14 states;
“Equality Before -State shall not deny any person equality before the law or the equal protection of the laws within the territory of India, prohibition of discrimination on grounds of religion, race, caste, sex or place of birth”
Article 19 (1) (g) states;
“All citizens shall have the right to practice any profession or to carry on any occupation, trade or business.”
According to these articles by definition, RBI set in motion an illegal circular that violates the Indian law. Many other companies joined the petition since their business was being affected. However one month later on May 17th, the Supreme Court refused to get involved in the RBI circular until the matter is “sub-judice”. In addition, the court decided to hold all cases regarding this matter across the country.
Despite the minimal efforts to push cryptocurrency throughout the country, that hasn’t stopped thousands of individuals form creating groups, pending startups, meetups and more.
The countdown for Indian Crypto regulation is on; this one has the entire country on their toes.
Good luck India!