While there are many countries in the world that have been very open and welcoming to cryptocurrency, India cannot be said to be one of them. A ban was instituted this year on banks providing services to crypto-related businesses and this led to many of them closing down permanently or taking their operations overseas in order to keep running. There have even been rumors of a full-on crypto ban in the country and this has seen criticism from those within the crypto industry as it is believed that embracing the industry will lead to more benefits for citizens.
This situation has only gotten more complicated as it was announced on October 16, 2019, that the Indian Supreme Court has postponed the hearing that would touch on the Reserve Bank of India’s ban on crypto businesses receiving banking services.
The showing was initially postponed to November 12, 2019, but then another extension was provided, moving the date to November 19, 2019 in respect of a national holiday that will be falling around the initial dates. The supreme court criticized the Reserve Bank of India back in August by stating that they had not properly handled the ban and gave them two weeks to respond to all complaints.
The ban prohibits banks from providing services to individuals or businesses that are dealing in cryptocurrency and they have even been rumors that the Reserve Bank of India wants to come out with its own cryptocurrency. The ban has not only been criticized by those within the crypto industry but also the High Court of Delhi which they claim is a violation of the Constitution to deny banking services to such businesses and individuals. The Reserve Bank, however, has stated that they are within their rights and intend to argue the case in court on the new date.
One of the reasons why advocacy for pro-crypto laws is so strong across the world is because one single law can go onto to cripple the industry across an entire country as is the case in India and countries, to an extend, are still trying to figure out their stance on cryptocurrency and the laws that will cover the industry.