As crypto-assets continue to rise in global relevance, the focus on effective regulatory frameworks becomes increasingly important. In a bold development, India’s Supreme Court is taking an active role in seeking solutions in this sphere. The apex court has expressed concerns about the current lack of regulatory clarity, urging the Union Government to act more decisively in establishing firm cryptocurrency legislation.
According to a report from the Hindustan Times, the justices have openly questioned the government’s approach towards the nascent sector. The Supreme Court justices are pressing the government to create a national-level agency for investigating crypto-related criminal cases.
Clamor For A National-Level Regulatory Body
In a direct interaction with the Union Government, justices Surya Kant and Dipankar Datta voiced their concerns, saying, “You still don’t have any law, unfortunately.” The justices underscored the need for a centralized agency that would comprehend these cases and execute proper investigations.
“We want you to identify a national specialized agency, in the national interest,” they added. This appeal hints at the perceived inadequacy of lower-level enforcement agencies dealing with the complexities of digital currency-related cases.
Questioning the quality of investigations likely to be conducted by police constables, assistant sub-inspectors, or sub-inspectors, the justices noted the intricate nature of digital currency cases. This calls for more seasoned investigators familiar with the complexities and technicalities involved in the field of digital currencies.
Call For Legislative Mechanism For Crypto
The justices did not mince words in demanding a legislative mechanism that the government could employ to effectively manage cases involving cryptocurrency transactions. The bench questioned, “But so long as you don’t have a mechanism, how do you investigate people and keep them behind bars? It’s after all the country’s money, which is being siphoned off.”
Emphasizing the national importance of the matter, the Supreme Court bench queried who bears the responsibility to halt the potential misuse of cryptocurrencies. The justices expressed their anticipation that the government would take proactive steps in proposing a solution to address the lack of regulation.
Meanwhile, the global cryptocurrency market has exhibited an upward trajectory over the past 24 hours, underpinned by key cryptocurrencies such as Bitcoin and Ethereum that recorded marginal increases of 0.6% and 0.7%, respectively.
Owing to this, the overall digital currency market has seen its value grow by roughly $10 billion within the last day, pushing its aggregate valuation to an estimated $1.147 trillion, at the time of writing.
Notably, while India has continued to be a region that’s not exactly welcoming to digital currency, the country has shown more interest in a Central Bank Digital Currency (CBDC) called the digital rupee. In a recent report, the Reserve Bank of India urged more lenders to embrace the country’s digital currency.
Featured image from Unsplash, Chart from TradingView
