June 27, 2019 | AtoZ Markets - Indian Koinex, one of the largest crypto exchanges in the country has announced about its crypto services termination. The exchange announced terminating other crypto-related operations as well.
About Indian Koinex crypto services in a brief
The termination of Koinex crypto services is scheduled for 27th June at 2 pm (IST). The company called on its customers to put up a fund withdrawal request by June 15.
This is not the first Indian crypto exchange to terminate its crypto services, earlier this year, two other exchanges operating in the country – Coindelta and Coinome – stopped offering crypto trading services. Compared to the aforementioned exchanges, Koinex was handling a much larger trading volume – the company reported $4,400,000 worth crypto trades in May.
However, the Reserve Bank of India decision to ban banks from doing business with crypto-related companies had a massive impact on the company’s crypto services. The company outlined that the last 14 months have been tough to operate the business in India, due to the closure of bank accounts holding user deposits.
Koinex terminates crypto services due to regulatory uncertainty
According to the official press release, the Indian Koinex exchange was forced to halt crypto service amid the ongoing regulatory uncertainties in the country. While speaking about their activity termination, Rajul Raj, co-founder, and CEO of Koinex noted: “After months of uncertainty and disruption, we have regretfully decided to shut down all digital assets exchange services and operations today.”
The crypto exchange had also issues related to payment services and gateways, along with non-crypto related transactions like payment of salaries, rent, and purchase of equipment. “We took on the immense financial burden to continue trading of digital assets and allow law-abiding Indians to participate in the decentralized revolution that has swept across the globe,” Koinex officials outlined.
Speaking of crypto regulatory issues in India, it is worth to mention, a recent announcement made by India’s new finance secretary Subhash Chandra Garg. The politician confirmed that the report detailing the country’s crypto regulation is ready and soon will be submitted to the finance minister for approval. Back then local media confirmed, the report containing the recommended crypto-related regulations is ready to be submitted to the finance minister, after more than a year of analysis and deliberation.
Think we missed something? Let us know in the comments section below.