Chilean-based cryptocurrency and blockchain fans are going to be filled with joy this year, as recently, a court ruling in favor of the country’s exchanges in an ongoing legal dispute.
This recent court ruling comes from a long-lasting development of legal battles between leading Chilean banks and domestic exchanges that has been ongoing since the previous year. Chilean banks like BancoEstado and Itau, decide to freeze the accounts of exchanges such as Buda and Orionx during the previous year. Although, the exchanges did complain that this was a representation of restriction on trade.
While the banks may have appeared to secure a comprehensive victory during the previous case when the Supreme Court decides to uphold the bank’s decision on freezing crypto accounts.
According to the news outlet Diaro Financia, Chile’s Court of Defense of Free Competition ordered the banks to continue conducting business with exchanges for the current moment, stating that the Supreme Court’s ruling:
“did not constitute a new precedent,” and marked an “abuse of power.” Per a Buda blog post, the ruling means that “banks must reopen exchange accounts and keep them open for the duration of the legal process, to ensure […] no irreparable economic damage is done to the platforms.”
Although this matter is far from over. Another hearing has been set to be conducted on February, with the country’s finance and economy ministers set to testify.
Cryptocurrency continues to go ever popular in South America, and with its popularity comes a sleuth of problems from local authorities. With the banks trying to prevent exchanges from expanding their businesses, it makes one wonder difficult it’s going to be for cryptocurrency to grow in these regions.
Do you think the exchanges will win their hearing next time?
Let us know your thoughts.