A public interest litigation (PIL) has been filed in the Bombay high court (HC) seeking directions to the Central government to enact appropriate laws to address the growing threat of cryptocurrencies and the malpractices of trading platforms in the country due to a lack of appropriate legislation and statutory authority

Frame laws for cryptocurrency trading: PIL in HC seeks directions to Centre

KAY Dodhiya

abbas.dodhiya@htlive.com

Mumbai: A public interest litigation (PIL) has been filed in the Bombay high court (HC) seeking directions to the Central government to enact appropriate laws to address the malpractices of trading platforms dealing in cryptocurrencies in the country, due to a lack of appropriate legislation and statutory authority.

The PIL states that it is critical to address this issue and frame appropriate regulation, legislation, and statutory enactment to address this growing problem; otherwise, a large financial scam on the scale of the government of Karnataka’s recent bitcoin scam worth 10,000 crores, could take place if kept unchecked.

The PIL filed by advocate Aditya Kadam highlighted the problems being faced by investors whose rights are being violated and investments are at risk due to the absence of a grievance redressal mechanism, for the unregulated cryptocurrency business in the country. The PIL has also pointed at the ease in which anyone can create a trading platform, cheat investors of their hard earned savings and use the funds, thus…

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