India’s Top Court to Refuse to Lift Crypto Ban

Looks like Reserve Bank of India’s cryptocurrency ban will remain
03 July 2018   611

The Supreme Court of India refused on Tuesday to remove the restrictions imposed by the central bank of the country on the cryptocurrency activity of local financial companies. This is reported by Quatz India.

On April 5, the Reserve Bank of India sent a notice to all financial institutions under its control, which officially prohibited them from providing services to companies operating in the field of cryptocurrency. In addition, the banks were instructed not to carry out transactions that their customers can use to purchase cryptocurrency. Officially, the regulation of the regulator takes effect on July 5.

The decision tried to challenge a number of cryptocurrency companies, which called it "arbitrary, unjust and unconstitutional." The Supreme Court responded to the stormy reaction of the public and promised to consider the petitions received, whose signatories demanded that the decision of the Central Bank be canceled, but refused to accept new applications.

However, based on the results of today's hearing, the court refused to issue a temporary restriction on the decision of the RBI.

As one of the legal companies representing the local stock exchange cryptocurrency said, the participants in the process asked to postpone the deadline for the decision to enter into force for another month. "However, now that the ban was approved, the banking channels for exchanges and their users were completely cut," the partner of the law firm told Quartz.

Nevertheless, representatives of the local crypto-currency industry do not lose hope. Last week, the secretary of the Ministry of Economy of India confirmed that the authorities are at the final stage of developing legislation to regulate the sphere of crypto-currencies. It is expected that it will be submitted within two weeks.

We have prepared a draft (on virtual currencies) that entails what parts of this businesses should be banned and what should be preserved. This should be discussed by the first week of July and we should wrap this up within in the first fortnight of July.

Subhash Chandra Garg

Secretary, India department of economic affairs

The next hearing, during which representatives of the cryptocurrency industry will try to challenge the decision of the Reserve Bank of India, is scheduled for July 20.

Binance to Join Forces With IdentityMind

IdentityMind provides exchanges with ability to comply with KYC\AML worldwide
26 March 2019   86

Binance announced an agreement with IdentityMind, which will help it ensure compliance with regulatory requirements and improve data security.

IdentityMind provides cryptocurrency exchanges with access to the platform, thanks to which they can monitor compliance with customer identification and anti-money laundering requirements in real time. This includes connecting new customers, managing their profiles and monitoring transactions.

The partnership between Binance and IdentityMind further strengthens our compliance capabilities and our commitment to re-invest in the blockchain ecosystem and grow it. We continue to evolve and enhance security systems while adhering to regulatory mandates in the countries we operate in. The goal is to foster greater trust among financial institutions worldwide.

Samuel Lim

Chief Compliance Officer, Binance

Last year, Bloomberg wrote about the Binance user identification system as the least strict in the entire industry, and linked the “level of anonymity” provided by the exchange with the risks of money laundering and market manipulation.

In October, Binance entered into an agreement with a supplier of transaction analysis software on the blockchains Chainalysis, and in November with Refinitiv, which developed an automated solution for client verification.

Whether the ordinary users of the platform will feel the impact of the integration of IdentityMind tools on themselves, the exchange does not specify.