India has advanced its legal treatment of digital assets after the Madras High Court ruled that cryptocurrencies are considered “property” under Indian law. The decision stems from a dispute between a WazirX user and Zanmai Labs over 3,532.30 XRP tokens frozen following a major cyberattack on ERC-20 assets in July 2024.
Justice Venkatesh clarified:
“Cryptocurrency is undoubtedly property. It is intangible and not money, but it can be owned, held, and kept in trust.”
The Court noted that the affected assets in the hack were Ethereum-based tokens, not the applicant’s XRP, strengthening the user’s claim to protection.
Referencing global precedent—including the New Zealand Ruscoe v. Cryptopia ruling—the Court emphasized that crypto assets are identifiable, transferable, and subject to exclusive control, making them legally ownable.
The ruling temporarily prevents Zanmai Labs from reallocating the XRP until arbitration concludes, signaling stronger investor protections in India’s growing crypto sector.
Analysts say this decision may improve investor confidence and accelerate the establishment of clear rules for digital assets such as XRP—positioning India closer to international standards for cryptocurrency regulation.
