Will go through Supreme Court order on cryptocurrency: FM Sitharaman

FM Nirmala Sitharaman | Photo: PTI

Finance Minister Nirmala Sitharaman on Wednesday said she will go through the Supreme Court order allowing banks and financial institutions to provide services related to cryptocurrencies.

The apex court on Wednesday set aside an RBI circular of 2018 which had prohibited financial sector entities from providing services to any individual or business dealing in virtual currencies.

"I will have to go through the apex court order and then will probably meet you all to see what we want to do or how we look at the judgement," the minister said at a press briefing here.

She was responding to questions regarding government's stand on cryptocurrencies in the backdrop of the Supreme Court's judgement.

Cryptocurrencies are digital or virtual currencies in which encryption techniques are used to regulate the generation of their units and verify the transfer of funds, operating independently of a central bank.

Last year, an inter-ministerial committee had suggested banning of private cryptocurrencies like bitcoin, and criminalising any activities related to virtual currencies.Regarding the panel's report, Sitharaman said the ministry had not taken a decision on it.

The Reserve Bank had through public notices on December 24, 2013, February 1, 2017 and December 5, 2017, cautioned users, holders and traders of virtual currencies, including bitcoins, regarding various risks associated in dealing with such virtual currencies.

 



Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

Business Standard is now on Telegram.
For insightful reports and views on business, markets, politics and other issues, subscribe to our official Telegram channel