The government submitted a counter-affidavit to the Supreme Court of India yesterday, 19 November, which is as of now hearing a case registered against the Reserve Bank of India (RBI) by a few crypto exchanges.
The archive states that the board of the Indian finance ministry,given the task of preparing the draft and headed by Subhash Chandra Garg, Secretary of Economic Affairs, will submit its preliminary version in December.
“Currently, serious efforts are going on for preparation of the draft report and the draft bill on virtual currencies, use of distributed ledger technology in the financial system and framework for digital currency in India.”
Quartz India reports that the draft report and bill will be sent to the Interministerial Committee (IMC) individuals and that the draft adoption will be examined in particular at the next IMC meeting. Archives note that “the draft report is anticipated to be submitted to the IMC by next month.”
In addition, in January 2019, the Garg panel planned two meetings on crypto regulation. The members of the committee will submit the legislation and accept proposals during the meetings, according to Quartz India.
The legal battle over crypto regulations began in April 2018, when RBI announced that it would stop providing services to individuals or legal entities involved in cryptocurrencies. After the move, 11 crypto companies brought an action against the RBI in the Supreme Court to overturn the decision. The hearing was finally held at the end of October after several postponements.
At the hearing, the Supreme Court set a deadline of two weeks for the Indian government to announce its official position on cryptography. Shortly after the hearing, the Indian Economic Affairs Secretary recommended that the country’s Finance Ministry prohibit “private cryptocurrencies.”
In India, the legitimate cryptographic system remains hazy. The primary Bitcoin (BTC) “ATM” developers in the city of Bangalore have been arrested by the Indian establishment on criminal charges. Agreeing to domestic news offices, the primary cryptocurrency exchange in the nation, Unocoin, was booked on genuine criminal charges, including criminal conspiracy, cheating and fraud.