India’s top court (Hon’ble Supreme Court invalidated an order issued by India’s central bank (The Reserve Bank of India) which had directed the banks to refrain in transactions involving cryptocurrency.
The historic judgement
The case involved the Internet and mobile association of India as the petitioner and the Reserve Bank of India as the respondent. The petitioners also involved “a few companies which run online crypto assets exchange platforms, the shareholders/founders of these companies and a few individual crypto assets traders” as stated in the 180-page judgment rendered on 04March, 2020.
The judgment stated the availability of power is entirely different from the manner and the extent to which it can be exercised. It clearly stated “we are testing in this part of the order the proportionality of such measure, for the determination of which RBI needs to show at least some semblance of any damage suffered by its regulated entities. But there is none.”
It was stated that it is a paradox that Blockchain technology is acceptable to RBI, but crypto currency is not. This judgement validates not just cryptocurrency but also the platform of its genesis “The Blockchain technology”.
A foresighted approach and a belief in robustness of Blockchain technology is what led Prometheus Patent Services to come up with its own Blockchain driven platform in the year 2018 known as “IPBLOCK”. As a part of data confidentiality IPBLOCK is a platform to timestamp invention disclosures on Blockchain. IP Block is a tamper proof, highly reliable, transparent, and secured platform employing peer-to- peer computational methods for storing encrypted data in Blockchain without disclosing to any third party, not even to IP Block itself!
This judgement rendered by a three-judge bench is a big victory for the crypto ecosystem in India. It’s a big step towards opening avenues for worldwide investors.