|Jun 24, 2018 11:05 AM||By: Jinia Shawdagor | 5946 Views|
Back in April 6th, The Reserve Bank of India (RBI) issued a statement that India will be shutting down cryptocurrency exchanges with regulated banks and financial institutions. When the ban comes into effect on July 5th, customers of Indian cryptocurrency exchanges will no longer be able to withdraw or deposit in fiat. This is a significant problem for many people dealing with cryptocurrency in Indian rupees, as it closes off any legitimate paths to convert from their fiat to crypto or vice versa.
Although India’s central bank has since admitted that it issued the cryptocurrency bank without doing enough research, the effects of its order will undoubtedly be felt. The Indian cryptocurrency industry players have pleaded the central bank to reconsider, but the petitions will only be regarded on July 20th, weeks after the commencement of the ban.
Even so, Indian cryptocurrency exchanges are planning to continue to operate. One of the exchanges, Zebpay, plans to continue crypto-INR trading, but with uncertainty. The exchange announced recently that their “intention is to allow crypto-INR pairs to trade even after [their] bank accounts shut down.” However, they stated that even the crypto-INR trade pairs are not guaranteed to remain available due to the ambiguous regulatory future. Since its announcement, trading volume expectedly spiked while the prices dropped as people rushed to get their assets out of the platform.
Unocoin, another Indian cryptocurrency exchange, is taking a different approach to keep its customers: introducing a trading tool. Coined the ‘Crypto Basket,’ the feature will allow its traders to purchase cryptocurrencies based on market cap and exchange volume, sort of a weighted basket order tool. The exchange hopes that the feature will enable its customers to place orders for multiple cryptocurrencies with a fund distribution of their choice.