One company looking to get in on the action in the cryptocurrency exchange space isn’t taking no for an answer.
In India, the central bank has a currently legal way of stopping the country’s banks from connecting with crypto firms, in any fashion.
In an almost poetic move, the crypto firm that plans to release a cryptocurrency exchange called “Coin Recoil” by August of this year, has filed a petition with the Delhi high court against India’s central bank.
Specifically, this petition is striking as it appears to state that prohibiting all of the nation’s banks from dealing with crypto firms is unconstitutional.
What is also interesting about this petition is that the company seems to have a more personal motivation for filing it, as well. It’s not technically viable to operate a crypto-exchange in India’s current business climate as the central bank would prevent anyone from depositing or withdrawing fiat, as well as from doing other things. In this way, a crypto-exchange would largely be worthless there, as of now.
Therefore, logically, the firm beyond “Coin Recoil” is doing this to save itself, as well.
Furthermore, the petition essentially is essentially built around the claim that the central bank has discriminated against the cryptocurrency industry in favor of the traditional financial industry.
On top of this, it also claims that the Indian central bank clearly has no idea what cryptocurrencies are. The language of the ban is said to be so broad that even Airline miles could be prohibited, if it is held to be legal.
Whether or not any direction connection between this ban of cryptocurrency firms and the Indian constitution can be drawn, remains to be seen. The trial has not even begun and the initial news on the subject just broke today.
In the end, if the central bank’s ban is overturned, it could be monumental for the space in terms of the relatively untested group of customers that it opens up.
BY: BGN Editorial Staff