The ongoing case between the Crypto exchanges and the Central Bank has reached the final stages with Supreme Court to decide on the verdict today the 12th of September. The case was filed after the Central Bank has imposed a prohibitive ban directing the banks and other financial institutions to stop providing services to crypto exchanges following the notice issued by the Reserve Bank of India (RBI) in April 2018.
The Central Bank declared 6th July as the deadline to close down all services to crypto exchanges. However, on 3rd July a petition to grant a stay on the circular was filed but the Supreme Court rejected the same. The ban came as a huge jolt for the industry that was slowly booming and the crypto exchange operators were not happy with the ban calling it unfair, arbitrary, and unconstitutional.
In June, a domestic lawyer filed a Right to Information (RTI) request that forced Central Bank to agree that the ban was passed without any proper research or consultation. On 20th July the Supreme court heard very little arguments from the lawyer representing the Central Bank.
On 11th September, the Supreme Court did not take up the hearing due to heaviness if arguments in previous cases. In the meantime, there was some confusion caused due to a rumour that the case had been adjourned to 17th September. But Dwaipayan Bhowmick, one of the petitioners confirmed that the case will be taken up on 12th September and is expected to be headed around noon.
The verdict is seen to bring more clarity and respite to the cryptocurrency ecosystem in India.