The RBI to File a Petition Against The Supreme Court’s Ruling on Crypto Banking
India’s central bank (RBI) is planning to file a review petition on the Supreme Court’s ruling that, the banking ban on crypto was unconstitutional.
Last Wednesday, the Supreme Court of India, in its ruling lifted the banking ban on cryptocurrencies. The RBI, had in April 2018, issued a circular to prohibit all banks from providing any services to crypto-related businesses.
However, according to a report from Economic Times, the RBI is planning to file a review petition on the Supreme Court ruling against the central bank’s circular aimed at curbing cryptocurrencies. The central bank is concerned that, the Supreme Court ruling could pave way for virtual currencies trading that could put the banking system at risk.
After the Supreme Court’s ruling, several crypto businesses that had relocated due to the RBI circular, are now looking to move back to India. The ruling can also allow customers to link their bank accounts to crypto exchanges to facilitate trading.
It is highly unlikely that the Supreme Court will reconsider its ruling on the subject. However, should the RBI succeed in persuading the court to change its ruling on the issue, the Indian crypto industry may face long years of oblivion, awaiting proper regulation from the government.
Featured image courtesy of Shutterstock. Source: Cryptopress.