5 Cryptocurrency Law That Every Indian Must Be Aware Of If They Are Investing Or Thinking Of Investing In Digital Assets
The Indian Central government along with the Reserve Bank of India are still to provide regulatory guidelines for crypto use in the country. Mind you Reseve Bank of India back in 2018 issued a circular stating that the use of crypto in the Indian banking system is illegal. The ban was challenged in the Supreme Court as unconstitutional upon which the Supreme Court gave a 4-week ultimatum to the drafting committee responsible for finalizing the crypto regulatory framework. The deadline ended on March 29th where the government’s counsel requested the hearing to be postponed, and the Supreme court has now set a tentative date of July 23rd for the next hearing in the case.
The future of crypto use in India does not look optimistic since as per the latest update, Reserve Bank of India in its regulatory sandbox has neglected crypto and only considering blockchain technology for testing in the sandbox phase. The banking ban has led to many crypto service offering businesses to shut their operations in India since it was becoming increasingly difficult for companies to avail banking services to their customers.
So, even though crypto use is banned in India, there are numerous crypto enthusiasts who do indulge in crypto trading, buying and selling. Thus, it is very important for these folks to understand that even though crypto is not a legal financial entity, there are several financial laws that they must follow. Cambridge University’s Centre for Alternative Finance has recently released its new Global Cryptoasset Regulatory Landscape Study, sponsored by Japan’s Nomura Research Institute. India is also among the names of the countries that have been included in the report which outlines several existing laws are applicable to crypto assets and token sales.
5 Indian Financial Laws That Are Applicable To Cryptocurrencies
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