The Supreme Court of India has recognized that the Central Bank of the country has not taken into account the fears of the crypto industry that arose from the actual cryptocurrency ban in the country. This is why the regulator has two weeks to explain its actions.
The Central Bank should explain the ban within 2 weeks
According to Cointelegraph, on August 21, the Supreme Court of India held a session. There, the companies objected to the prohibition for the banks to provide services to the crypto business, introduced by the Central Bank in 2018.
Interesting in the section: Cryptonator Wallet in 2019 disappoints its customers
The judge accepted the arguments of the businesses and stated that the regulator had not taken into account the companies' fears. Therefore, the Central Bank is obliged to explain its motives within two weeks.
- In April 2018, the Central Bank prohibited financial institutions from conducting any cryptobusiness-related transactions.
- The regulator gave banks 3 months for "restructuring."
- In June 2019, the Koinex cryptoexchange announced its closure. The main reason was the regulator’s ban, due to which the platform could not conduct normal activities.
- On July 23, the governmental committee issued a report recommending banning the country's cryptocurrencies completely.
- In August, Crebaco Global CEO, Siddharth Sogani, declared that India would lose $13 billion.
Editor: Godfrid Brower