In a major victory for the Indian cryptocurrency sector, the Madras High Court recognized cryptocurrency as a “property” under Indian law while dismissing a plea by a crypto investor whose XRP holdings on crypto exchange WazirX were frozen following a cyber-attack in 2024.
“There can be no doubt that ‘cryptocurrency’ is a property. It is not a tangible property nor is it a currency. However, it is a property that can be enjoyed and possessed (in a beneficial form). It can be held in trust,” Justice Anand Venkatesh said in the court order.
The order caused a stir in the Indian crypto sector for three reasons: recognizing crypto as ‘property’ capable of ownership and trust, clarifying that Indian courts can intervene in digital asset disputes despite offshore arbitration or corporate structures, and ensuring investor protection by stating that foreign insolvency or restructuring schemes cannot override user rights to self-owned digital assets.
The applicant had invested ₹1,98,516 in WazirX and purchased 3,532.30 XRP coins in January 2024. After the July cyber attack, WazirX announced on its website that one of its cold wallets had been compromised. Regarding the applicant’s plea that her account should not be tampered with after the attack, the court directed the parent company to provide the applicant with a bank guarantee of ₹9.56 lakh, which will be extended from time to time till the end of the arbitration proceedings.
Published on October 26, 2025
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