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The Supreme Court of India criticized the government for taxing crypto at 30% without establishing clear regulations, calling it inconsistent policy.
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Ultra-rich Indians are shifting from crypto to luxury real estate, citing lack of regulation, safety, and capital protection as key drivers.
On May 20, 2025, the Supreme Court of India expressed concern over the central government’s delay in establishing a clear regulatory framework for cryptocurrencies. The court likened unregulated Bitcoin trading to a “hawala business,” an informal and often illegal method of transferring money, highlighting the potential for misuse and economic impact.
The justices emphasized the necessity of monitoring and controlling digital currencies effectively, urging the central authorities to expedite the creation of comprehensive regulations.
🇮🇳 Supreme Court to central govt: Why is crypto still unregulated?
While hearing a bail plea in a multi-state crypto fraud case,
the SC questioned the govt’s inaction on crypto regulation.
It said unregulated Bitcoin trading is just a “polished form of Hawala.”
Also reminded… pic.twitter.com/PIsrhKBQ76
— Sujal Jethwani (@SujalJethwani) May 20, 2025
Government’s Contradictory Approach
The court pointed out the inconsistency in the government’s stance, noting that while cryptocurrency transactions are taxed at a high rate, there are still no proper guidelines in place. Justice Suryakant remarked, “If you can tax it at 30%, also please regulate it as you have recognised it by taxing it.” This call for regulation comes amid ongoing investigations into illegal Bitcoin trading activities, such as the case involving Shailesh Babulal Bhatt, who is accused of extorting significant amounts of cryptocurrencies and cash.
Meanwhile, the Supreme Court dismissed a ₹2,000Cr. The WazirX hack case is only because India still has no clear crypto regulation. Victims were told to “approach RBI, SEBI, or CBI”, the same institutions that have avoided crypto accountability for years.
India is losing the crypto investors!
Looking at the miserable state of crypto regulations, India’s ultra-rich are redirecting their investments towards real estate dodging gold and crypto assets. According to luxury real estate advisor Aishwaraya Shri Kapoor, the country’s top 0.001% are building portfolios worth ₹75–500 crore, focusing on land and branded real estate. These high-net-worth individuals are acquiring high-value land parcels, branded residences, pre-leased commercial floors, trophy penthouses, and heritage properties across major cities in India and abroad.
The motivation behind these investments is not just returns but also capital protection, liquidity safety, and access to exclusive resale circles.
