TronWeekly

Crypto World News

You are here: Home / Archives for Indian cryptocurrency exchanges

Indian cryptocurrency exchanges

India’s Crypto Exchange Bitbns Becomes First To Hosts Metaverse Token TRACE

by

India’s crypto exchange Bitbns became the first among its peers in the country to list metaverse token ‘TRACE’ on its platform. The popular metaverse token is part of the Trace Network Labs, known for augmenting digital avatars.

One of the asset’s several use cases is its ability to grant network users governance control over the protocol. TRACE also provides better exposure to the world of non-fungible tokens in the ever-expanding metaverse universe.

Apart from that, TRACE also extends other utilities like rewarding network participants through various incentives, including staking and farming. The asset is the fuel of the network and ecosystem and is used for multiple transactions besides participation in protocol operations.

The metaverse token on its website claims to be a complete decentralized protocol that enables lifestyle for any multichain metaverse. It builds technologies aiming to transform the way people access any metaverse or metaverse assets.

Screenshot 2022 04 27 180835
India's Crypto Exchange Bitbns Becomes First To Hosts Metaverse Token TRACE 2

Further, it allows users to become metaverse residents by creating their look-alike which it calls ‘Digital-Twins’, or ‘Digital Avatars’. These so-called digital replicas are then able to roam freely across multiple virtual worlds in different blockchain networks.

Trace Network Labs is backed by investors such as AU21 Capital, NGC Ventures, OKex Blockchain ventures, LD Capital, Moonrock Capital, Moonwhale, and DAO maker, among others.

Bitbns now supports 400+ cryptocurrencies

With this new addition, the crypto service provider has expanded its collection to support more than 400 cryptocurrencies. The latest inclusion comes after listing several other popular metaverse tokens, such as Alien World, RFOX, and DEAPcoin.

Speaking on the same, Gaurav Dahake, CEO, of Bitbns, says, that Bitbns have always strife to offer unique propositions to customers. Together with the seamless amalgamation of virtual reality [VR], AI, and augmented reality [AR], Dahake noted that the Metaverse is on its way to a roaring success, especially in terms of offering unlimited opportunities to its users.

With the addition of TRACE on Bitbns, we have broadened the metaverse offering on our platform. We are excited to allow our users to explore real-looking avatars and use them in another metaverse world. We are also exploring ways our users can mint their Avatars from within the platform.

Cryptocurrency bill opposed by more than a third of urban Indians

by

According to data collected by market researcher YouGov on the Indian cryptocurrency bill, more than a third (36%) of urban Indians oppose the Government’s plan to regulate crypto assets.

It has come to light that among the opposers the rate of people who own a digital asset is higher than that of those who don’t. As per the survey, approximately the ratio is around 52% to 28%.

Among the opposers of the bill, of the crypto investors, 27% of the distress over the bill is about the expensive taxation policy and around 26% of total worry about the ban on other private currencies that they have invested in so far. Some of them (23%) are scared of losing their investments in the assets; only 1 in 10 are glad about the legalization of the crypto market.

This Bill that is yet to get a nod from the Indian government, has been constantly receiving a lot of indecisiveness from its people, it almost leaves its people disoriented and agitated.

Indians’ cryptocurrency investments to stall until market stabilization

With so many frivolous opinions among the holders, further investments seem like a very unlikely move. When surveyed about future investments, more than half (51%) of the present asset holders have said that they will hold their further plans of investing in crypto until the market stabilizes.

One in six people has affirmed to stop investing and instead sell their digital assets, while a few others (4%) have decided to move on to other investment tools. While the majority of them (26%) have decided to stay optimistic and continue or increase their stakes in crypto.

Furthermore, among the optimistic bunch, three in five (60%) believe in an elite forthcoming of Cryptocurrency and think a faster adoption of the asset will put them at advantage. Nearly 45% of the bunch conceive it to be a favorable long-term investment, but others (35%) are willing to expand their investments.

With so many events and data coming to light, the anticipation of the ‘Indian Cryptocurrency Bill’ makes it all the more analytical and inquisitive. The bill is set to be up for discussion in the next session of the Indian parliament, ideally around late January or early February of 2022.

India’s major crypto exchanges are on the DGCI radar for alleged tax evasion

by

India’s Directorate General of GST Intelligence [DGCI] has raided several crypto exchanges operating in the country after detecting a tax evasion by Binance owned exchange WazirX two days ago. In what could be termed as a not-so-good start at the beginning of the year for the Indian crypto scene, the enforcement agency recovered around $9 million worth of tax evasion during the clamp down on the trading platforms’ premises with the help of Mumbai CGST.

As per sources, nearly half a dozen offices of cryptocurrency service providers have been searched and massive Goods and Service Tax [GST] avoidance has been discovered by the agency. The DGGI is investigating Coinswitch Kuber by M/s Bitcipher Labs LLP, CoinDCX by M/s Neblio Technologies PVT. LTD, BuyUCoin by M/S I Block Technologies Pvt. LTD., and Unocoin by M/s Unocoin Technologies Pvt. LTD. Sources revealed that the above-mentioned trading firms are providing facilitation intermediary services for buying and selling crypto coins. These services attract a GST rate of duty of 18 percent which is alleged, all of these entities have been evading.

An official source, who was part of this search team, told a news agency, these service providers were charging a commission for their facilitation to indulge in exchange of bitcoins but were not paying GST tax. These transactions were intercepted by DGGI and they were confronted with evidence that proved non-payment of GST.

Where is India’s crypto regulation heading?

After the developments, WazirX blamed the prevailing lack of clarity in the crypto regulation, while saying it’s “been diligently paying tens of crores worth of GST every month.” In their own words, the exchange noted,

There was an ambiguity in the interpretation of one of the components which led to a different calculation of GST paid. However, we voluntarily paid additional GST in order to be cooperative and compliant. There was and is no intention to evade tax. That being said, we strongly believe that regulatory clarity is the need of the hour for the Indian crypto industry.

Having said that, currently, there are no clear regulations in India around how these crypto exchanges or investors would be taxed as it remains undecided if cryptocurrencies would be categorized as currencies, securities, or a type of asset.

India’s crypto exchanges might be asked to appoint a Grievance Officer: Industry Insider

by

In the latest development, India’s crypto exchange maybe ask to appoint a local point of contact, similar to the new IT rules that require to have a Grievance Officer for social network entities operating in the country. This was revealed by industry insider Aritra Sarkhel, Director at Public policy and Government Affairs on WazirX.

Sarkhel has been a part of the discussion group with the government about the crypto bill, revealed in a webinar session about the Indian government’s keen interest in appointing a grievance exec who would be working to resolve complaints and queries as and when needed. This would further open up job opportunities for lawyers as there are at least 15 homegrown crypto exchanges in the country, like WazirX and CoinDCX, as well as foreign trading firms, like Coinbase and CrossTower, who have shown interest in setting up offices in India.

Further in the discussion, Sarkhel said that other aspects of the blockchain world aren’t quite on the government’s radar yet.

“Listen, nobody is discussing the metaverse at the highest quarters. We’re discussing cryptos and exchanges and NFTs, a little bit. I don’t think people are discussing the metaverse.”

The main focus of the administration has been understanding the differences between traditional and crypto trading platforms and how they function. Dwelling more, the industry expert revealed that the government is working to figure out the inflow and outflow of money in users’ wallets and ‘what sets one cryptocurrency apart from the next.’ With regards to non-fungible tokens [NFTs], most of the conversation revolves around how they should be taxed as HODLer of digital art, as a buyer, or as a creator.’ Having said that, the Indian crypto scene has not witnessed any significant developments so far.

India’s much anticipated crypto bill deferred

India’s much-awaited cryptocurrency bill is unlikely to be tabled in the ongoing session of Parliament as the government is yet to finalize details of the legislation, according to sources close to the government. As a matter of fact, the schedule for the last week of the Parliament session has left out the crypto bill from its list of business. However, the government can still introduce the legislation during the ordinance [a temporary law made by the president] in periods when the parliament is not in session.

IPL, India’s richest sports league, bans teams from signing crypto-based deals

by

IPL or Indian Premier League was banned from taking part in crypto-related deals and associating themselves with cryptocurrency-based firms or exchanges. This order came from the Board of Control for Cricket in India (BCCI) which is the authority governing the sport.

As per a report by ET, the teams are upset with the decision taken by the BCCI, missing out on lucrative opportunities. The franchises received a lot of interest from cryptocurrency exchanges in the country for partnerships ahead of the coming T20 season.

Some of the IPL teams had started negotiations and were asked to keep the proceedings on hold until the government’s regulation of cryptocurrencies is clear after the winter session of the Parliament in which the crypto bill is set to be introduced.

IPL believes the decision a “major loss”

While the BCCI has completely banned IPL teams from signing deals with crypto exchanges, the International Cricket Council has no problem with the same, and this has irked many of the franchises.

“It’s a major opportunity loss. The kind of money they were offering for the main sponsorship was 1.5 times of what the current sponsor is paying. They wanted to build their brand with our association and were ready to pay for that.”

said an executive

Investors and firms are currently confused regarding the cryptocurrency bill, which will set foot on the floors of the Parliament this winter session. Sources said that the bill speaks on putting a ban on “private cryptocurrencies.”

India has the highest number of cryptocurrency investors (more than 100 million) and a huge number of cricket fans. Taking advantage of this, the top two cryptocurrency exchanges in the country were set to sign a 50 crore INR deal with the ICC for advertisement slots.

This is not the first time cryptocurrency exchanges have been targeted with scrutiny in the nation. A PIL was filed in the Delhi high court to ban the advertisement from exchanges that were accused of misleading the audience. While the advertisements were not banned, the Court made it compulsory for exchanges to add disclaimers in their adverts.

Crypto market crashes on Indian exchanges amidst ban FUD

by

Amidst the huge regulators’ involvement and FUD, Indian crypto exchanges witnessed a sudden panic selling which resulted in a midnight crash dumping the dollar-linked stable coin tether (USDT) by 25% to nearly 60 Indian Rupees ($0.8061). This happened just after the news on the cryptocurrency bill went viral on Wednesday.

The global crypto market has started gaining some bullish momentum after around a 20% global drop in the past few weeks, but the Indian market saw something totally different.

The crash wasn’t just limited to Tether but also reflected on multiple top coins, including king coin Bitcoin (BTC), largest altcoin Ethereum (ETH), meme coins Shiba Inu (SHIB) and Dogecoin (DOGE), and Metaverse hero Sandbox (SAND).

The crypto price crash

The crash occurred soon after the so-called “government-funded” media channels created FUD around crypto. An interview on a local media channel even said that the only choice Indians have is to sell all their cryptocurrencies and never return back.

As per local sources, the Indian government is reportedly planning to roll out a bill seeking to ban private tokens while allowing specific exceptions to support blockchain technology.

The announcement of the bill came through the Parliament, which stated that the country would introduce and list 26 new bills, including the Cryptocurrency and Regulation of Official Digital Currency Bill, 2021, in the upcoming Winter session.

The bill seeks a legislative vote and discussion over creating an official virtual currency while banning “all private cryptocurrencies,” starting Monday.

The major sell-off on the Indian exchange platform WazirX this morning at 3:30 am UTC slipped the Bitcoin price by around 15%, from 4,600,000 rupees (around $61,800) to 3,917,659 rupees (around $52,600) within two hours. Other popular coins like Ethereum and Cardano also fell by double-digit losses on the exchange.

Statements from founders

Nischal Shetty, CEO of the WazirX, said that the Indian market usually trades above the global market. He added that the latest events might lead to Indian markets reaching the global market levels.

Bitcoin market CEO Caroline Bowler said that the current ban is for the short-term and would be a step backward. He added that banning could not protect investors.

India’s crypto exchanges shell out more than $6M in advertisements

by

India’s top cryptocurrency exchanges dished out more than $6 million in advertisements and other promotional activities for the ICC World Cup Cricket tournament 2021. According to information provided by Tam Sports, India’s first crypto exchange unicorn CoinDCX was the biggest spender of all. It spent a total of over $5 million in broadcasting at least seven times in a single match, across all channels.

Out of 50 matches, sources from the first 42 revealed that the crypto exchange accounted for a 4% share in the total ad volume. On the other hand, its competitor CoinSwitch Kuber‘s ad expenditure tallied more than $1 million in total along with another domestic crypto exchange WazirX, who spent anywhere between $500K to $800K.

Interestingly, the Indian crypto exchange’s latest ad ‘blitz’ for the major sporting event is the first of its kind in the country. As per sources from the media, TV commercials by these digital exchanges have increased significantly in the last month. These developments may seem to have attracted a lot of attention from the government and the financial regulators who had unanimously voiced concerns against such ‘misleading’ advertisements and called for stricter curbs on such marketing tactics.

The news comes after India’s PM Narendra Modi chaired a high-level meeting just two days ago wherein, he engaged in detailed discussion with regards to bringing about sound regulations for the burgeoning cryptocurrency sector. According to government sources, authorities were particularly alarmed by an advertisement that claimed that crypto investments in the country reached a massive 600k crore.

India’s legal course

Several sources point towards the probability that the Indian government may approach the Advertising Standards Council of India [ASCI] to bring greater transparency and ‘stricter statutory warnings to accompany ads on digital currencies or their trading platforms.’

At present, there aren’t any legal arrangements for cryptocurrencies. But the recently concluded meeting of the government indicates that a regulatory framework may finally come into shape by December this year. Despite concerns raised by the regulatory entities, there has been a major shift, as witnessed from the government’s latest stance to bring a ‘progressive and forward-looking’ law on the whole sector. Nevertheless, the 2021 bull run has propelled retail investments to rise significantly despite the regulatory ambiguity.

Indian Cryptocurrency Exchanges Approach RBI for Regulatory Clarification

by

In April 2018, the Reserve Bank of India(RBI) had placed a ban on cryptocurrency trading that restricted banks and other financial institutions from enabling cryptocurrency-related services. In March of this year, the Indian Supreme Court lifted Reserve Bank’s two-year ban on cryptocurrency trading in India for what many said was a historic verdict.

After the Supreme Court verdict, many statistics showed that a growing number of Indians were interested in cryptocurrency trading, and many exchanges saw an increase in trading volume.

Cryptocurrency exchanges have now approached the Reserve Bank of India (RBI) as stated by The Economic Times, and sought clarification on their status and domestic tax within the country. Crypto exchanges wrote to the Reserve Bank of India (RBI) seeking clarification as financial institutions refused to provide the financial services they wanted because of a lack of clarity on the part of the regulators, The Exchanges have requested clarity on the platform’s categorization as commodity, currency, goods, or service that defines whether they are paid under the Good and Services Tax (GST).

Praveenkumar Vijayakumar, Chairman & CEO of Belfrics Global, was reported as saying:

“If the digital assets are not exempted from GST, the digital currency exchanges in India are going to have a standoff with the tax authority. In early 2019, the tax department had reached out to several cryptocurrency platforms in this regard. In the wake of the recent Supreme Court ruling, we have also approached the RBI for clarity on this, as if we pay GST on the whole transaction, then most platforms would not be able to survive,”

In the background, it is claimed that the indirect tax department which collects GST has initiated preliminary discussions on how cryptocurrencies could be brought within the scope of the GST. A few years earlier, the sales tax department and VAT authorities had also launched an investigation into Bitcoins‘ taxability. The indirect tax department also launched an investigation into Bitcoin exchanges operating in India to assess the rate of GST that could be imposed on them.

“After the supreme court judgment, the RBI was supposed to issue a new circular directing the banks to start banking relationships again with cryptocurrency exchanges and businesses. When the Crypto exchanges approached banks to start operations the banks simply denied as they had not received any notification from the RBI till date,” said Sidharth Sogani, CEO, CREBACO Global. “Banks cannot deny the service after the Supreme Court judgment, they are just playing safe as banks will always be anti-Bitcoin, but because of this huge potential is getting sacrificed.”

 

Indian Cryptocurrency Exchange CoinDCX Raises Millions in Latest Investment Round

by

Bitcoin and the rest of the cryptocurrency market have tried their best to become mainstream after a decade of their inception. This growing financial sector has become so important that regions around the world have begun to rethink their applications.

India was one of the few countries vehemently opposed to cryptocurrencies. The ban on cryptocurrency has been so effective that digital asset companies have been brought to the ground while many have relocated. Following the recent withdrawal of the ban by the Supreme Court of India, the country has seen a dramatic increase in the number of crypto investors.

CoinDCX was one of the few Indian cryptocurrency exchanges that were ramping up efforts to expand Indian cryptocurrency space. According to new reports, the exchange raised more than $3 million from investors in its most recent funding round. CoinDCX claimed that the new space investors were excited to form an ecosystem of change, innovation, and rapid progress.

According to sources, CoinDCX raised more than $3 million from investors like Bain Capital Ventures, Polychain Capital and HDR Global Trading. HDR Global Trading sounds familiar because it is involved in operating cryptocurrency exchanges like the popular BitMEX.

The sudden surge in investments started right after the Indian Supreme Court adjudged that the 2018 ban on crypto was unjust. According to the premier court in the country, the RBI’s stance on digital assets would hamper growth and development in the country. Sumit Gupta, the CEO and Co-founder of CoinDCX stated:

“As the country’s largest exchange, we are in a position to drive national crypto adoption forward responsibly. This successful investment round will go a long way in funding our vision of accelerating India’s growth into a US$5 trillion economy. With a slew of exciting projects in the pipeline, the closure of our Series A is the first step in a new chapter in the CoinDCX story as we continue to drive the mass adoption of crypto assets in India.”

CoinDCX stated that it would use the capital to revamp its marketing aspects as well as boost its product developments. Sumit Gupta added that cryptocurrency as an asset was just about to take off in the country. India stands in the perfect position to leverage the current market and draw attention to the changes in the space, said Sumit Gupta. CoinDCX was one of three Indian cryptocurrency exchanges that remained open during the ban and it looks like it paid dividends.

The exchange will allow more users to get on board by buying cryptocurrencies with fiat. One of the USP’s of CoinDCX has been its algorithm-based trading that has enabled users to make seamless transactions. The good news was in complete contrast to the situation in 2018 when the industry crumbled in India after RBI’s decision. CoinDCX has also pledged $1.3 million for a campaign called ‘TryCrypto’. The aim of the program is to increase the number of crypto users in India to 50 million.

The CoinDCX development came right after Tim Draper made glowing comments about the Supreme Court’s decision. The serial investor admitted that he would be interested in contributing to some of the great projects in India and boost the cryptocurrency space.