India’s Central Bank Vs Bitcoin Lawsuit Comes to End
September 27, 2018
The Supreme Court of India is going to consider final arguments on the claim against the Central Bank’s Bitcoin banking ban, as local media report.
The long-lasting struggle between the Reserve Bank of India (RBI) and Internet and Mobile Association of India (IMAI) has reached its terminal stage. The first hearing was set up on September 11 but due to failed judicial proceedings and delayed response by the RBI the session was put off twice. The central bank finally gave its response on September 12 having thus confirmed its stance towards crypto ban and pointed out that no legal system defines cryptocurrencies in the form they currently exist in.
As the RBI says, IMAI hasn’t provided any hard evidence against banning cryptocurrencies so the Supreme Court should dismiss the case.
Meanwhile, the RBI’s ban seems hard to be implemented. Now Indian crypto enthusiasts either go for underground operations or resort to p2p trade to skirt the law. As a result, Income Tax Department loses hundreds of thousands of dollars despite introducing capital gain tax for crypto assets.