{"id":3379,"date":"2022-04-14T18:40:50","date_gmt":"2022-04-14T18:40:50","guid":{"rendered":"https:\/\/cryptoheretostay.com\/?p=3379"},"modified":"2022-04-14T18:40:50","modified_gmt":"2022-04-14T18:40:50","slug":"major-crypto-exchanges-in-india-disable-fiat-deposits-amid-regulatory-uncertainty","status":"publish","type":"post","link":"https:\/\/cryptoheretostay.com\/?p=3379","title":{"rendered":"Major crypto exchanges in India disable fiat deposits amid regulatory uncertainty"},"content":{"rendered":"<p> <script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"crypto\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script><br \/>\n   <\/p>\n<p>Some of the biggest crypto exchanges operating in India have disabled the option to deposit fiat via the United Payments Interface (UPI) amid regulatory uncertainty after its operator denied knowledge of its use by crypto firms, Reuters reported, citing an industry source.<\/p>\n<p>The list of exchanges includes\u00a0Coinbase, CoinSwitch Kuber, and WazirX.<\/p>\n<h2>Authorities say crypto firms are not using UPI<\/h2>\n<p>UPI is a state-backed payment system for bank transfers that exchanges used to deposit fiat. However, in a recent development, the National Payments Corporation of India (NPCI), which operates the UPI, stated it was unaware that crypto exchanges were using the payments system.<\/p>\n<p>Following NPCI\u2019s statement, crypto exchanges disabled the option to deposit fiat and did not clarify when the service would return. <\/p>\n<p>WazirX, India\u2019s biggest exchange, tweeted that \u201cUPI is not available,\u201d and there is no timeline on a fix. The exchange later said in a statement that deposits through the service had been disabled since December 2021.<\/p>\n<h2>Coinbase is one of the affected crypto firms\u00a0<\/h2>\n<p>Coinbase, which recently launched its operations in India, is also an affected entity. In its launch announcement, Coinbase CEO Brian Armstrong said:<\/p>\n<p><strong> \u201cIndia has shown a great willingness with UPI.\u201d\u00a0<\/strong><\/p>\n<p>The chief product officer for Coinbase, Surojit Chatterjee, also added at the time that: <\/p>\n<p><strong>\u201cUPI has made it very simple for anyone with a mobile phone to access digital payments.\u201d<\/strong> <\/p>\n<p>Coinbase\u2019s mentions of UPI were quickly seen by the NPCI, which subsequently denied that any crypto exchange had used the state-backed payment network. The denial has led to regulatory uncertainty for the sector.<\/p>\n<p>The Reserve Bank of India \u2014 the country\u2019s central bank \u2014 regulates the NPCI and has historically had an anti-crypto stance. With the statement, there\u2019s an increased regulatory uncertainty within the crypto sector in India.<\/p>\n<p>Coinbase payment services in the country are no longer working which means any fiat deposit, conversion, or withdrawal is impossible. The exchange is yet to explain what\u2019s going on to its users. Coinswitch Kuber is also one of the Indian exchanges where Coinbase has invested, and it\u2019s also affected.\u00a0<\/p>\n<h2>Stakeholders link current issues to India\u2019s anti-crypto stance<\/h2>\n<p>Stakeholders in the industry have explained that the situation isn\u2019t surprising. According to an anonymous industry source, the central bank may be influencing payment providers to stop offering services to crypto exchanges.<\/p>\n<p>Others believe that Coinbase\u2019s decision to discuss UPI led to the current situation. But given that the Supreme Court has overturned RBI restrictions on banks supporting or engaging in crypto transactions, others opine that Coinbase is within its rights to talk about UPI.<\/p>\n<p>With the Indian crypto industry already facing high taxes, this regulatory uncertainty might further affect the sector\u2019s growth. <\/p>\n<p><em>CryptoSlate<\/em> reported earlier that the transaction volume of Indian exchanges hit the lowest level in recent memory after the country\u2019s controversial crypto tax rules came into effect on April 1.<\/p>\n<p>Posted In: India, Regulation <\/p>\n<h2>Get an Edge on the Crypto Market \ud83d\udc47<\/h2>\n<p>Become a member of CryptoSlate Edge and access our exclusive Discord community, more exclusive content and analysis.<\/p>\n<p>  <strong>On-chain analysis<\/strong><\/p>\n<p>  <strong>Price snapshots<\/strong><\/p>\n<p>  <strong>More context<\/strong><\/p>\n<p> Join now for $19\/month Explore all benefits<br \/>\n<br \/><script type=\"text\/javascript\">\r\namzn_assoc_placement = \"adunit0\";\r\namzn_assoc_tracking_id = \"totafreearti-20\";\r\namzn_assoc_ad_mode = \"search\";\r\namzn_assoc_ad_type = \"smart\";\r\namzn_assoc_marketplace = \"amazon\";\r\namzn_assoc_region = \"US\";\r\namzn_assoc_default_search_phrase = \"bitcoin\";\r\namzn_assoc_default_category = \"All\";\r\namzn_assoc_search_bar = \"false\";\r\namzn_assoc_title = \"\";\r\namzn_assoc_rows =\"1\";\r\n<\/script>\r\n<script src=\"\/\/z-na.amazon-adsystem.com\/widgets\/onejs?MarketPlace=US\"><\/script><br \/>\n<br \/><a href=\"https:\/\/cryptoslate.com\/major-crypto-exchanges-in-india-disable-fiat-deposits-amid-regulatory-uncertainty\/\" target=\"_blank\" rel=\"noopener\">Source<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Some of the biggest crypto exchanges operating in India have disabled the option to deposit fiat via the United Payments Interface (UPI) amid regulatory uncertainty after its operator denied knowledge of its use by crypto firms, Reuters reported, citing an industry source. The list of exchanges includes\u00a0Coinbase, CoinSwitch Kuber, and WazirX. Authorities say crypto firms [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":3380,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_wp_rev_ctl_limit":""},"categories":[3],"tags":[],"class_list":["post-3379","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ethereum-news"],"_links":{"self":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/3379","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=3379"}],"version-history":[{"count":1,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/3379\/revisions"}],"predecessor-version":[{"id":3381,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/posts\/3379\/revisions\/3381"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=\/wp\/v2\/media\/3380"}],"wp:attachment":[{"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=3379"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=3379"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cryptoheretostay.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=3379"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}