The Supreme Court of India has received five petitions challenging the Reserve Bank of India’s decision to forbid entities to deal with cryptocurrency enterprises. On July 20, the Supreme Court of India (SCI) will hold a hearing to discuss the Reserve Bank of India’s (RBI) decision last month.
Since the RBI banned all entities under its regulations from dealing with cryptocurrency companies, the SCI has received five different petitions. At the hearing, participants are expected to discuss their views on current policies, such as Anti-Money Laundering (AML) and Know Your Customer (KYC).
Among the five petitions, one was sent by the Internet and Mobile Association of India (IAMAI), the last one to be received. Before that, the cryptocurrency company Kali Digital Eco-Systems, based in Ahmedabad, in India, had pleaded their case already.
According to a report, the company alleged the directive violated the Constitutional rights of India’s citizens to perform any occupation, business or trade. Even though the RBI issued a circular forbidding its regulated-companies to deal with cryptocurrencies, the same document recognizes the potential of cryptocurrencies.
On the one hand, the bank sees the technological innovations as a way to potentially improve inclusiveness and efficiency of the financial system. On the other hand, the RBI has concerns regarding the inherent risks of dealing with digital currencies thus forbidding the communication between companies. Read more from blokt.com…
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