- Earlier this week the Supreme Court of India saw the ‘Crypto v RBI’ case unpause.
- Nakul Dewan has stated that the Reserve Bank of India didn't think that the cryptocurrency has real intrinsic value.
Earlier this week the Supreme Court of India saw the ‘Crypto v RBI’ case unpause. The counsel for Indian cryptocurrency platforms, Nakul Dewan has stated that the Reserve Bank of India didn't think that the cryptocurrency has real intrinsic value.
In discussing the impact of banking ban on businesses, the counsel noted that the government expressed reservations in regards to the ban on cryptocurrency as it would make it difficult for law enforcement agencies to get a grip of it and essentially, monitor it.
Ashim Sood, counsel for the Internet and Mobile Association of India, said that there was in fact risks involved with steps that would have been taken to eventually mitigate it with further explanations, going on to say the functioning of crypto platforms and the role played by banks while operating a platform.
With the ban coming into place, several platforms have seen hard times in daily operations. One of the biggest platforms in India, Coin DCX is switching to a peer-to-peer system to follow the Reserve Bank of India's rules but also at the same time, serve its users properly.
“The current banking ban is related to the closing of the banking relationship of crypto companies/entities/exchanges but crypto companies are free to operate on their own. Additionally, exchanges are free to operate on their own. After banking ban, CoinDCX innovated and offered peer to peer service for buying/selling crypto through INR. The primary focus of such innovation was the user will get the right value and also respecting and abiding the RBI decision.”
The council highlighted that it's a good thing by the work of validation. They add that it can also be a medium of exchange for those who recognise the value in it. The medium of exchange is an important aspect of crypto but was ignored by the legislature the counsel has said.
According to a statement by Crypto Kanoon:
“…it can be used as a medium of exchange and the legislature knows it. Legislature knows the exact position but it did not choose to pass any law.”
It will be interesting to see how this situation plays out. For more news on this and other crypto updates, keep it with CryptoDaily!