The crypto space has had an uneasy relationship with India, among other countries, in recent times.
Back in 2018, the Reserve Bank of India (RBI) banned banks from dealing with virtual currencies.
This effectively shut off 1 billion-plus people from trading cryptocurrencies.
However, at the time of the banning, the RBI said it wanted to ‘uphold the integrity of the banking system’ in the country.
And although the Indian government didn’t fully ban owning crypto, it did consider a 10-year prison sentence for anyone holding ‘non-sovereign’ cryptocurrencies.
In a historic judgment today, however, India’s Supreme Court reversed the ruling by lifting the ban on crypto trading.
Furthermore, the judgment stated the ruling had been ‘disproportionate’.
After the ban, deposits or withdrawals in Indian Rupees from crypto exchanges ceased.
However, after today’s decision India’s biggest exchange, Zebpay, tweeted their delight.
“The verdict is out! Today the Supreme Court of India has removed the RBI ban on trading cryptocurrencies. We at ZebPay want to say a huge thank you to the SC for allowing millions of Indians to have access to crypto.”
WazirX was equally delighted, tweeting:
“Historic day for the entire Indian crypto ecosystem. Crypto has won!”
And it is a historic day, not only for the crypto community but for the whole country.
Crypto doesn’t do borders, and any government that stops its people from sing global assets will only hinder them.
Moreover, with today’s verdict reversing the ban, it’s going to open up so much investment opportunities in the country.
Sumit Gupta, co-founder,and CEO of CoinDCX, expressed his satisfaction and excitement for the future.
“We have always believed in the ideals of collaboration and today goes a long way in proving that communication and dialogue with decision-makers. This may lead to constructive, sensible outcomes for our industry,” said Gupta.
“The uplifting of the ban on trading cryptocurrencies by the Supreme Court is going to open new opportunities for India in terms of investments, economic growth, financial inclusion, and market maturation.”
Crypto To Receive Huge Boost in India
Highlighting the impact of the RBI ban on cryptocurrency, Ganesh Vasudevan, Research Director, IDC Financial Insights, India called it a ‘welcome move.’
‘While trading cryptocurrencies as such was not banned,’ said Vasudevan, ‘the banking services restriction by RBI had completely crippled the cryptocurrency settlements in India. This resulted in winding up of most of the crypto exchanges in India.’
It’s a momentous day for crypto in India.
Over a billion people were cut off from buying cryptocurrencies but are now legally able to purchase them.
Many crypto companies had to close after the ruling was branded by the RBI.
Since the ban on trading, cryptocurrencies has been lifted many exchanges will reopen their doors again.
This will come with much more investment.
And not just in cryptocurrencies but the infrastructure of the space in which India will need to catch up pretty quickly.
Author: Tommy Limpitlaw