Crypto payment service in India shuts down, trading volume falls

Liputan6.com, Jakarta Cryptocurrency trading volume in India has continued to decline after the government began imposing a 30 percent crypto income tax without allowing for losses or loss mitigation.

According to crypto research firm Crebaco, cryptocurrency trading volumes have been falling across all major exchanges since last week, reports Moneycontrol. Wazirx saw trading volume drop by 72 percent, Coindcx by 52 percent and Zebpay by 59 percent.

The decline in crypto trading volume continued to decline after Mobikwik, one of the preferred payment methods for buying cryptocurrencies on Indian crypto exchanges, suspended its services.

The closure began on April 1st for no apparent reason on the part of the company. An executive at a crypto exchange in India said there was no further information on the matter.

“Mobikwik has not given a specific reason for stopping its service. We have just been informed that they will no longer be working with the exchange,” said the executive, quoted by Bitcoin.com, Friday (4/29/2022).

Nasdaq-listed crypto exchange Coinbase announced that it has fully launched in India, allowing users to transfer funds to buy crypto using the Unified Payment Interface (UPI) system.

However, the National Payments Company of India (NCPI), which created UPI, responded by stating that no crypto exchange uses the UPI system.

Meanwhile, the Indian government is still working on a framework for crypto. Treasury officials are reportedly consulting with international organizations including the International Monetary Fund (IMF) and the World Bank, as well as the Reserve Bank of India (RBI) and other domestic regulators.

The value of Bitcoin sets a new record again. Bitcoin had hit the level of Rp. 965 million per chip, it was the highest figure ever reached since its inception.

Leave a Reply

Your email address will not be published.