India Cryptocurrency Ban Happens After Supreme Court Decision

Restrictions put in place prohibiting Banks in India from providing support to cryptocurrency related activities will remain in place much longer. The country’s Supreme Court has failed to issue a temporary injunction on the restrictions imposed by the Reserve Bank of India.

Following the ban, the coalition made up of four cryptocurrencies exchanges went to court to challenge the directive. Crypto Kanoon’s lawyers sought a temporary injunction on the ban. The Supreme Court failed to issue the temporary injunction that allows the ban to remain in place as the hearing is set for May 17th.  The country’s de-facto central bank instituted the cryptocurrency ban. The ban prohibits all financial institutions in the country from cryptocurrency related activities.

The ban prohibits activities related to maintaining accounts, registering trading, settling, clearing or providing loans in virtual tokens. The central bank has gone on to state that digital coins such as Bitcoin do not qualify as a medium of settling transactions. The Supreme Court has no jurisdiction over the country’s economic policies.

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