Supreme Court says no to plea for regulatory framework on cryptocurrencies

The Supreme Court on Wednesday refused to examine a plea seeking a regulatory framework on cryptocurrencies and said it couldn't "lay down the law". A cryptocurrency is a digital or virtual currency secured by cryptography, which makes it nearly impossible to counterfeit or double-spend. They exist on decentralised networks using blockchain technology -- a distributed ledger enforced by a disparate network of computers. The plea came up for hearing before a bench of Justices B R Gavai and Augustine George Masih. The counsel appearing for the petitioners claimed several complaints were filed across the country over cryptocurrencies. The counsel said the petitioners were seeking directions to the Centre and others for a regulatory framework on the issue as there was no law to regulate it. "It is in the domain of policy makers. How can we," Justice Gavai asked, "issue any such direction? We can't lay down the law". The bench said the petitioners could make a representation on the issue to the Government of India. The counsel argued several petitioners approached different police authorities but there was no regulatory policy on the issue. "The prayers made in the petition are within the domain of the legislature and the executive. In that view of the matter, we are not inclined to entertain the petition," the bench said. If the petitioners so desired, the bench said, they could make a representation to the appropriate authority to be considered. In January last year, the Centre informed the top court that it was yet to take a decision on a mechanism to regulate cryptocurrencies and effectively investigate related offences. The top court was hearing a separate bail plea of an accused booked for alleged cryptocurrencies fraud in various states.