RBI gets 2 weeks to reply to cryptocurrency firms, Technology News, ETtech

The Supreme Court has directed the Reserve Bank of India to reply within two weeks on questions raised by cryptocurrency exchanges over the regulator’s move to restrict access to banking channels for virtual currency transactions in the country.

The exchanges, represented by the Internet and Mobile Association of India, had last year made a representation to the central bank explaining why rules, rather than restrictions, can address the regulator’s concerns over cryptocurrency trade. Justice Rohinton Fali Nariman on Wednesday directed the banking regulator to respond to the representation in the “manner appropriate” and scheduled its next hearing for September 25.

The court also asked the solicitor general to furnish various documents pertaining to the response within a week. Representing the regulator, senior advocate Shyam Divan said that the RBI circular on restricting access to banking channels for virtual currency trade is supplementary to the statutory provisions listed under…