Billionaire venture capitalist Tim Draper plans to invest in India now the central bank’s ban on financial services for cryptocurrency companies has been overturned.
On March 22, Draper tweeted that the recent decision by the nation’s Supreme Court in favor of crypto firms represented “a renaissance for India,” underscoring a change in sentiment for investors who can now begin investing in the local blockchain industry.
In an interview with Inc42 on March 21, Draper said he had “met several bitcoin and crypto startups” during a trip to India in mid March, adding that he hoped to fund a number of them.
“The Supreme Court of India and the Indian government have shown that the best ideas ultimately prevail, and just in time because the benefits of bitcoin and crypto over current systems will become apparent during this crisis,” Draper said.
In April 2018, a Reserve Bank of India order barred domestic financial institutions from providing banking services to crypto exchanges severely hamstringing the domestic crypto market as it sought to impose strict regulations.
The local crypto scene struggled in legal limbo until, after two years, a March 4 court ruling overturned the ban, arguing the central bank had not been balanced in its decision to cut off crypto firms’ banking services.
Soon after the ban was lifted, bank transfers once more began flowing into crypto exchanges, some of which said they anticipated high demand for cryptocurrency and related financial projects in the newly opened market.