Government Of India To Develop Crypto Regulation Rules
The Supreme Court of India decided to set a period of four weeks for the government of the country to make the final decision on the regulation of the crypto sphere, the local news publication Inc42 reports.
The government of India must deliver a verdict before March 25, 2019. If there is no decision before this time, the Supreme Court will make its own decision.
The court session took place on Monday, February 25. The judge gave a final opportunity to representatives of the executive power to develop regulatory documents in the crypto sphere and stated that after that he would cease to consider cases, including regarding the central bank of the country (RBI).
In the spring of 2018, RBI issued an order that prohibited all banking institutions in the country from servicing individuals and legal entities associated with the crypto sphere. Some time later, the Delhi Court criticized the orders, claiming that it violated the country's constitution. The Supreme Court took a neutral position at that time and, probably, even supported the RBI's ban despite a number of lawsuits.
At the same time, in the summer of 2018, the Central Bank of India announced that it was considering developing its own cryptocurrency pegged to the national rupee but announced that it was suspending these plans at the beginning of 2019.
There is an ambiguous attitude towards cryptocurrencies in the government of India. Different departments sometimes express opposite opinions. One of the government committees expressed concern about the negative impact of cryptocurrency on fiat, the other proposed to legalize digital assets.
As previously reported, the Indian police has created a department to combat crypto fraud.