Dawn of Crypto Derivatives: Impact of Internet and Mobile Association of India v. Reserve Bank of India
Volume III, Issue III, 2020
Crypto-currencies are an exciting phenomenon of virtual world. Since their advent they have been seen as volatile and deceiving instruments by regulators around the world. However their adoption among the masses and backing of big names in tech has enabled them to weather the storms.
Indian regulators have been highly apprehensive of crypto-currencies and for good reason. However as the understanding of these assets has developed, we are in a better position to regulate them and benefit from their value. The current article discusses the impact of 2018 RBI circular banning bank from providing banking services to crypto-currency participants and the recent Supreme Court’s decision in Internet and Mobile Association of India v. RBI which removed that blanket ban.
The analysis of the above mentioned judgment has been done in the backdrop of crypto-derivatives market which is witnessing a global boom. The article places reliance on existing regulatory framework along with reports of public and private institutions to analyze the need of a robust and efficient framework.