Earlier today, the Supreme Court of India overturned the ban on Bitcoin, Ripple’s XRP and other cryptocurrencies. While this is a huge development for all digital assets – from market leaders to small altcoins that few know – some say that this move could have an oversized effect on XRP, which has struggled in terms of price action in the past year. and more.
India overturns key anti-crypto regulations
For those who missed the memo, first, a brief recap: Wednesday, the Supreme Court of India overturned a directive from the Reserve Bank of India which prohibited banks from offering services to those who embark on cryptocurrency, whether it’s Bitcoin or XRP or otherwise.
A great victory for the Indian cryptography industry, which successfully challenged the RBI’s April 2018 ban pic.twitter.com/1o5APDAV2V
– Su Zhu (@zhusu) March 4, 2020
Vaibhav Kakkar, partner at L&L Partners law firm, told Bloomberg about this:
“With this order, there is a likelihood of more mature and balanced regulation of cryptocurrencies and the financial technology sector as a whole.”
Could be bullish for XRP (and Ripple)
According to Credible Crypto, a leading industry commentator and trader, this Supreme Court decision to overturn the ban will be particularly bullish for XRP. He explained:
“Regulatory clarity was the last piece of the puzzle that prevented Ripple from aggressively pursuing the Indian money transfer market. Ideal for XRP. “
India’s importance to Ripple can be further corroborated by the fact that the company’s senior vice president of products, Asheesh Birla, told a panel in Wharton that digital payments and remittances will be huge for Indians in the future:
“Where is the future? And so we realized that over the next five years, a billion people will be banked in India, but they will be banked by their phone. So we started targeting mobile providers and telecom operators. “
The clarity of regulations surrounding cryptocurrencies, which is expected to follow the upcoming Supreme Court hearings, is like quelling fears that the use of an international payment system based on cryptocurrencies as the liquidity system at Ripple’s request is a viable option.
This comes at an important time; Ripple is in the midst of a push for adoption of its products, including ODL, which uses XRP as a bridge currency between institutions and fiat currencies.
The company has successfully started to roll out this product in East Asian markets, which are full of the need for money transfers, making India the next logical step.
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