Update: Supreme Court has Quashed the RBI circular on March 04. 2020, deeming it unconstitutional.
Almost 2 years after the Reserve Bank of India put a Banking restriction on Crypto Businesses and traders, all eyes are on Supreme Court to decide whether that move remains valid or not. The arguments concluded on January 28, and the judgment has been reserved by the three judge bench since.
On January 28, 2020 the honourable Supreme Court of India concluded hearing the arguments for the Crypto Vs RBI matter. It was believed that the judgment will be released in 3-4 weeks. Five weeks in, there is no sign of the judgment.
On April 05, 2018, the Reserve Bank of India released a new circular barring banks and other regulated entities from servicing individuals and businesses who deal in Crypto assets. Since then several exchanges, individuals band together and appealed in the Supreme Court. Even the Internet and Mobile Association of India (IAMAI) joined the fight in May 2018.
Within this one and three quarter years since the case was initiated, several exchanges who joined the fight have shut down their businesses like Koinex, Coindelta and Zebpay. Although that last one is now back with a completely different management. CoinRecoil decided to withdraw its petition from court citing large legal costs. Almost all crypto exchanges have set up their companies in regulatory friendly jurisdictions by now. The entire crypto industry has been innovative enough to still allow INR based crypto trading for Indians.
However, the crypto community eagerly followed the Supreme Court updates as and when the case was being heard. It was widely believed that the judgment should be released by the end of February, now we enter March, still not knowing exactly when the court will pronounce it.
Certain factors delaying the judgment could be the recent communal clashes in the National Capital, or that six out of 21 Supreme Court judges suffered from Swine Flu, albeit the judges on the bench to decide CryptoVsRBI are not affected.
When do you think the Judgment will be pronounced? Write it down in the comments below.
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