According to a report from Quartz, Indian Supreme Court will not be telling the Reserve Bank of India (RBI) to relent in its decision to keep banks free of cryptocurrency.
RBI’s decision to stop the nation’s banks from processing the orders of businesses that deal with cryptocurrency was made in
April – entities were given three months to comply.
Before this decision by RBI, about 5 million Indians were transacting tens of millions of dollars’ worth of cryptocurrency daily via the country’s 12 operational cryptocurrency exchanges.
RBI was taken to court that same month; many parties complained that the decision was arbitrary and discriminatory.
SUPREME COURT DECISION
Following a request from the Internet and Mobile association of India, the hearing was held today (3rd of July).
The court has upheld the ban. What this mean henceforth is that all banks in India are to stop any activities related to cryptocurrency.
Responding to this decision made by the Supreme Court, Rashmi Deshpande, associate partner at Khaitan & Co, a law firm representing cryptocurrency exchange Kali Digital Eco-Systems, said: “This a win for the RBI and a big blow to virtual currency exchanges and traders.
ALTERNATIVE WAY TO TRADE CRYPTO IN INDIA LEGALLY
It might interest you to know that there is another way to trade cryptocurrency in India. At least two cryptocurrency exchanges will be launching new services to avoid using banks, according to the Economic Times of India.
WazirX, a cryptocurrency exchange from Navi Mumbai, has announced a peer-to-peer transfer service which will begin as soon as the ban comes into effect.
It will connect buyers and sellers and functions as an escrow account, which means that the seller deposits cryptocurrency with WazirX, the buyer pays the seller in fiat, and then WazirX released the cryptocurrency to the buyer.
To know more about WazirX CLICK HERE