Recently, Supreme Court has decided to take actions on cryptocurrency in India. In 2020, they first thought of banning cryptocurrency exchange and also stop banks which supports crypto coins transactions. Bitcoins are basically virtual currencies which has no legal tender. According to RBI, cryptocurrency should be banned as it’s a threat to the finance of India. In 2018, a ban over cryptocurrency was circulated which fell the crypto trade exchange into problem. Though later the circular got cancelled by Supreme Court. RBI has to accept Supreme Court decision on Cryptocurrency in India.

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Legal Aspects of Cryptocurrency in India

Due to this Covid situation, the number of cryptocurrency exchanger has increased. As the number of users increased, there is a huge revenue loss of Government of India. According to Supreme Court judgement on cryptocurrency, a new bill “Cryptocurrency and Regulation of Official digital Currency Bill, 2021” has been passed which put a ban on only private crypto exchange companies in India and make use of safe technological environment of trading. The companies now will have to disclose their investments on cryptocurrency. No such body has been formed till now, which would rule the crypto exchange in India.

Is Cryptocurrency legal in India 2021? The answer is no. There is a huge confusion regarding ban on crypto exchange as RBI has filed case several times in Supreme Court. Cryptocurrency has no legal tender. But now, many regulations has been made while exchange of cryptocurrency as per Supreme Court decision on cryptocurrency in India.