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In India, the Reserve Bank Directive (RBI) abolished the ban on reporting organizations to provide banking services to cryptocurrency companies. Because of this rule, many local exchanges and startups had been forced to close or relocate to another country. Now, the Supreme Court has considered the appeal of representatives of the blockchain industry and agreed with their arguments, writes Bloomberg.
Last summer, a court criticized the central bank for imposing the ban. The regulator had to justify its decision to limit the activities of companies associated with digital money. The rule has been in force since April 2018.
Also in June 2019, a working group of the Government of India proposed a complete ban on digital money. Among the possible penalties that can be imposed for mining, storing, selling, transferring and issuing cryptocurrency, a fine of up to $ 3.6 million and a prison term of up to 10 years are provided. Now the proposal is being re-examined by the Supreme Court.
What is the situation in other countries with crypto regulation today?
The South Korean government has legalized cryptocurrency trading and storage. The country’s parliament passed the relevant amendments to the legislation, they will lead to the restructuring of the country’s blockchain industry, reports The News Asia.
For entry into force, changes must be signed by South Korean President Moon Jae In. After that, the government will have a year to implement the amendments. At the end of it, blockchain startups will be given a 6-month period to bring their activities in line with the new rules.
It is clear that the amendments will affect crypto-exchanges, funds and crypto-wallets, companies conducting ICOs, and other market participants. They will be required to: comply with all financial reporting requirements; use only bank accounts with real names; conduct user identification (KYC); and certify information security management systems.
Cryptocurrencies are likely to be legalized in Russia soon. In early February, the head of the State Duma’s financial market committee Anatoly Aksakov said that the law on digital financial assets could be adopted in March, because the government managed to resolve disagreements regarding this document.
It can be seen that many countries around the world are now starting to release the restrictions that had previously been placed on cryptocurrencies and this trend is only expected to continue.
