Perhaps for the first time, the Indian crypto community witnessed a long hearing in the landmark case, “RBI v/s Crypto” this year. However, the arguments from both parties have finally been concluded and reports highlight that the judgment is already reserved. Although, the Supreme Court of Indian hasn’t mentioned any fixed date for delivering the judgment, yet it can be pronounced anytime soon.

* Ashim Sood, the legal counsel for the Internet & Mobile Association of India (IAMAI) alongside Nakul Dewan, who acted as legal counsel for domestic cryptocurrency platforms argued for crypto. 

* Ld. Sr. Advocate Mr. Shyam Divan argued for Reserve Bank of Indian (RBI)  

It’s worth noting that, every time RBI throws rigorous challenges at length to the Crypto community, the counsel for the Internet and Mobile Association of India (IAMAI), Ashim Sood engages the public eye presenting comprehensive arguments explaining the court of the necessity of banking support to deal with the crypto market. 

As per the live updates shared by Crypto Kanoon, a trusted media platform for crypto regulatory updates, RBI as well as Ashim Sood debated with justifiable facts. While the crypto community is eagerly waiting for the judgment on “RBI v/s Crypto Case”, let us dig deeper into a few arguments that the Indian crypto community is debating on.! 

1. When the RBI Says that it has no power to regulate the commodity, how can then RBI exercise power to stop crypto assets from being traded as crypto is a commodity? 

One aspect that has always baffled news headlines and become a serious discussion is whether crypto needs regulation. Nevertheless, RBI's decision to take down bitcoin/crypto in India seemed like the banks were trying to regulate crypto. But the argument is that the RBI is not a regulatory body hence, it cannot act to restrict, or in other words, ban something it does not authorize to do. 

Arguing on this point, a Twitter user named “Preetham Garg” tweeted; 

Cigarettes are injurious to health, causes cancer, we all know but the government only puts the warning on the package and let the people decide what to do, they didn't ban it, he further went on to say; 

2. RBI in its press release mentioned about the risk of price volatility in cryptocurrency, however, the same risk is also there in stock trading and the same effectively lies under the domain of SEBI and not RBI

RBI in its press release mentioned about the risk of price volatility in cryptocurrency, however, the same risk is also there in stock trading and the same effectively lies under the domain of SEBI and not RBI

Many contributors on twitter were able to conveniently debunk this assertion by relating the issue of volatility to other volatile goods and commodities. In this regard, many economical necessities like Gold, LPG, and gasoline record constant volatility in their prices when compared over some time. However, as these have come to be seen as indispensable to a vast majority, the government pays careful attention to their availability and conducts effective price controls. Cryptocurrencies, like these commodities, deserve unreserved attention in terms of price control and availability and also as an investment option.

Arguing on this, a Twitter user "Srihar M" said; 

To strangulate a technology that is rapidly growing internationally will only put India behind world-class civilization to an unbelievable extent. Considering the level of adoption already achieved by cryptocurrencies within the past few years, it is impossible to believe that such fast-growing technology can be stopped or hindered on the grounds of price volatility and similar concerns.

3. Crypto Has The Potentials To Serve The Underbanked And The Unbanked. It Can Fill The Payment Deficiencies. 

This part of the argument particularly stirred up reactions among respondents on twitter which widely accepted that fiat in this regard was failing to meet the banking needs of many Indian citizens. 

Noticeably, reports reveal that two-thirds of people in India live in poverty. An incredible number of citizens miss out on the opportunities that come with life savings and insurances because their earnings are even barely enough to meet their daily needs after several charges for keeping money in the bank. On top of it all, a large number of citizens are unbanked because of the outrageous charges banks levy. However, with crypto, these citizens can step into saving mechanisms, innovative financial approach with their existing smartphones whilst avoiding hefty banking charges and procedures. 

In other words, the need to be able to keep very little amount securely and at little or no cost at all is something well deserved by everyone! According to @knighteagle4 on Twitter, 

Many other respondents made similar and equally interesting comments such as by @pereji4 and @nsabari4 stating that, 

We'll continue updating the argument and interesting debate happening around these arguments.! Stay tuned. 

Info credit - CryptoKanoon and Indian Crypto Community

Image credit - Flickr

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