Supreme Court Rulings On Nft And Cryptocurrency Crimes
1. Internet and Mobile Association of India (IMAI) v. Reserve Bank of India (RBI) – 2020
In this landmark case, the Supreme Court struck down the RBI's 2018 circular that prohibited banks from providing services to cryptocurrency businesses. The Court held that the RBI's action was disproportionate and violated the fundamental right to carry on any trade or profession under Article 19(1)(g) of the Constitution. The Court emphasized that the RBI failed to demonstrate any tangible harm to the financial system from cryptocurrency transactions. This judgment effectively lifted the banking ban on cryptocurrencies, allowing exchanges and traders to resume operations in India. Nishith Desai Associates+1
2. Delhi High Court – Cryptocurrency Scam Bail Denial (2025)
In July 2025, the Delhi High Court denied bail to Umesh Verma, accused in a cryptocurrency scam involving the Dubai-based Pluto Exchange. The Court highlighted the serious economic implications of cryptocurrency-related fraud, noting that such activities convert legitimate money into untraceable funds, posing a significant threat to the economy. Verma's involvement in multiple similar cases and his continued collection of investments post-ban were critical factors in the bail denial. The Times of India
3. Ahmedabad Anti-Corruption Court – Bitcoin Extortion Case (2025)
In a significant judgment, a special anti-corruption court in Ahmedabad sentenced 14 individuals, including 11 police officials and a former BJP MLA, to life imprisonment in a 2018 Bitcoin extortion case. The accused were convicted for conspiring to kidnap and extort cryptocurrency from a businessman who had invested in a failed business. The Court emphasized the need to curb corruption and uphold public trust in the legal system. The Times of India
4. Supreme Court – Refusal to Regulate Cryptocurrency (2025)
In April 2025, the Supreme Court declined to entertain a petition seeking the formulation of rules to regulate cryptocurrencies, stating that it could not "lay down the law" in such matters. The Court's decision underscored the need for legislative bodies to establish clear regulations concerning digital assets. gojuris.in
5. Legal Status of NFTs in India
While there is no specific Supreme Court ruling on NFTs, the legal status of these digital assets remains uncertain in India. NFTs are typically bought and sold using cryptocurrencies, which are not recognized as legal tender in India. The lack of a clear legal framework for NFTs has led to debates about their classification, with some viewing them as contracts and others as derivatives. The absence of explicit legislation leaves the legality of NFT transactions open to interpretation. Lexology+1
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