Bitcoin and other cryptocurrencies were booming in Indian during 2017 and then in the beginning of the next year, ie. March 2018 the Reserve Bank of India prohibited banks from processing transactions relating to cryptocurrency in India. All the cryptocurrency trading platform’s were given a certain time to carry all the transactions and later they were not allowed to carry any transactions related to cryptocurrency after the stipulated time.
While the Supreme Court struck down the RBI ban early in the year, cryptocurrency regulation is still prohibitory, besides being difficult to comprehend. Cryptocurrencies are not legal tender in India, and while exchanges are legal, the government has made it very difficult for them to operate. Once again in the year 2021 cryptocurrency has come into limelight after Tesla’s announcement of buying Bitcoin worth $1.5 billion and that it may even accept the cryptocurrency as the payment option to boost the usage of cryptocurrency. The price of Bitcoin has also boosted as well the Indian transactions has also surged to the greatest extent.
Darshan Bathija, CEO of Vauld, said the volume of transactions on its platform has doubled. “Compared to the day before, our trading volume doubled. We saw a 60% spike in new users, and 20% in returning users. We have seen a $10-million transaction volume in the last 24 hours, as compared to our daily average of $4-5 million. Rupee deposits have doubled from Rs 16 crore per day to Rs 30 crore today.”
Unocoin’s CEO and co-founder Sathvik Vishwanath said, “We saw over 4,000 new registrations (depositors) to trade on our platform since morning, which is much higher than the 500-600 per day. The value of rupee deposit stood at Rs 4.5 crore within the first few hours of trade today and is expected to reach Rs 10 crore — which is equal to the trade value of 3-4 days. Every rupee that comes in ends up in Bitcoin purchase.”
Author:
Dr. Sunil Patel, Professor, Unitedworld School of Business (UWSB)
Disclaimer: The opinions / views expressed in this article are solely of the author in his / her individual capacity. They do not purport to reflect the opinions and/or views of the College and/or University or its members.
