The Supreme court of India refused to abolish a ban laid by the Reserve Bank Of India (RBI) on making transactions via cryptocurrencies. This would censor cryptocurrencies in the country.
India is the third largest economy in Asia.
Bitcoin cannot be treated as currency under India’s existing law, It imposes that currency used as a medium of exchange must be made either from metal or exist in a physical form and needs to be stamped by the government said the RBI during the court hearing.
The court was headed by Chief Justice Dipak Misra, who said that the ban on banks and other financial institutions providing any services related to cryptocurrencies will remain implemented, Bloomberg reported. Initially, all institutions were given three months to cease such operations, effective from April 6th.
Countries such as Korea are taking steps to guarantee more procure crypto trading, while Malta had already ingrained itself as Europe’s blockchain and cryptocurrency hub which leaves India a step behind the digital platform.
According to the Director of DigiXhub ‘Nitin Jagtiani’ , One of the leading cryptocurrency and Blockchain solutions provider based in Bangalore, believes India contributes a very significant share of volume for cryptocurrency trading and ban in cryptocurrencies will allow the government to plan and implement the required regulations and laws to have a secure environment for investors and traders. Other countries have also made such steps but later have created a regulated environment to allow cryptocurrency business to safeguard the investors and traders.