The Supreme Court of India has ruled that the Reserve Bank of India's (RBI) circular prohibiting banks from dealing with cryptocurrencies is unconstitutional. Background: The case originated from a petition challenging the validity of the RBI's circular, which was issued in 2018. Parties: The petitioners argued that the circular is unconstitutional, while the respondents contended that it is necessary to protect the financial system from the risks associated with cryptocurrencies. Legal issues: The primary issue before the court was whether the RBI's circular is constitutionally valid. Court observations: The Supreme Court observed that the circular is unconstitutional, as it violates the right to trade and commerce. Significance: The judgment has significant implications for the regulation of cryptocurrencies in India, particularly in the context of the RBI's powers to regulate the financial system.