 "Cryptocurrency")
After the Supreme Court’s judgment Wednesday setting aside the RBI circular prohibiting banks from facilitating virtual currency/cryptocurrency/crypto-asset transactions the question arises what next.
The judgment holds that while the RBI had the power to take note of and deal with virtual currencies, the prohibition was excessive since it cut off the lifeline of an otherwise legitimate trade. It also holds the RBI did not show any harm to its regulated entities as a result of their facilitating virtual currency trade and any defects in the functioning of virtual currency exchanges.
The Supreme Court has therefore corrected an anomalous
The judgment holds that while the RBI had the power to take note of and deal with virtual currencies, the prohibition was excessive since it cut off the lifeline of an otherwise legitimate trade. It also holds the RBI did not show any harm to its regulated entities as a result of their facilitating virtual currency trade and any defects in the functioning of virtual currency exchanges.
The Supreme Court has therefore corrected an anomalous
Disclaimer: These are personal views of the writer. They do not necessarily reflect the opinion of www.business-standard.com or the Business Standard newspaper
