Once again, the Supreme Court of India has asked the Central Government why it hasn’t created a clear set of rules to regulate cryptocurrency in the nation. The argument came during a hearing of a case over crypto fraud.
A bench of Justice Surya Kant and N Kotiswar Singh noted that unregulated Bitcoin was ‘nothing but a more polished form of hawala.”
The panel said, the parallel functioning of the crypto market while impacting the Indian economy and formation of a proper set of rules are expected to reduce the risk and misuses of the crypto.
On Monday, the court asked, “ Why does Centre not come out with a clear-cut policy on regulating cryptocurrency?” and “ There is a parallel under-market for it and it can affect the economy. By regulating the cryptocurrency, you can keep an eye on the trade.”
Will banning crypto help India’s economy to grow?
India’s stance on crypto will probably affect the growth of the Indian economy, but the Supreme Court argued that regulating digital assets will probably help India.
The unlawful money transfer practice known as hawala makes it difficult for authorities to track the amount sent because the sender avoids banks and other conventional money transmission methods.
The Supreme Court observed, “ Nobody is saying to stop it, because wouldn’t not be wise for the economy.” Furthermore it’s added, “ Banning may be shutting your eyes from ground reality. But what about regulating it?”
The X post by Bar and Bench dated May 19 notes a statement of Justice Kant, ‘ we aren’t experts. Experts would examine it, but some steps to regulate it and keep an eye on it(is necessary.’
Experts argue that India is one of the biggest markets for crypto in the world, with the topper of the adoption listed for the 2nd time in 2024.
The Indian crypto market is expected to develop at a compound annual growth rate of 18.48% from 2025 to 2033, from its 2024 valuation of $2.6 billion to $13.9 billion. According to a different projection, the market might reach $6.4 billion by 2025, with 107.3 million users and a 7.35% penetration rate.
The market for crypto exchange platforms was valued at $1,312.3 million in 2023 and is expected to grow at a CAGR of 28.3% to reach $7,500.3 million by 2030.
Crypto market price updates
Until publishing the crypto market was at $3.34 trillion with an intraday addition of 3.01% and the trading volume had reached $127.08 billion, at the same time crypto fear and greed index was at 68.
Major crypto such as Bitcoin, Ethereum, Solana, XRP and Dogecoin remain bullish and Aave, Pendle, Curve DAO token, Bittensor, Kapsa, Maker and Virtual Protocol also got the position in this.
Bitcoin is exchanging hands at $105, 321 with a surge growth of 2.10% and its market capitalization to be approaching $2.20 trillion, but is currently at $2.09 trillion.
