One of India’s greatest digital asset transaction platforms have been declared today that it will stop offering crypto purchasing and selling services.
Zebpay validates it Day Due to law-maker’s Pressures:
Zebpay cited that the Reserve Bank of India’s (RBI) announced limited particular activities on digital currencies had severely impacted its ability to run business. The exchange declared that it would be stopping due to nervousness of all digital currency trading as of 16:00 (local time) today. The firm was previously one of the biggest India’s digital-based currency exchanges.
The news comes just months after the RBI commanded domestic banks and financial institutions to stop all dealings joined together to digital assets such as Bitcoin and Ether. The move was first declared this April before coming into full effect by early July.
In a statement-making sure on the exchange platform’s designated blog, the firm justified the decision to end operations:
“Despite regulatory and banking problems along our journey, we continued to look for solutions as we did not want India to miss the bus of digital assets that power the public blockchain. However, the recent past has been extremely difficult. The curbs on bank accounts have crippled our, and our customers’, ability to transact business meaningfully.”
The statement still describing, announced a halting of all exchange activities as of 16:00 on September 28, 2018. All non-completed crypto-to-crypto orders were rejected and those traders impacted would receive their coins and tokens back into their Zebpay accounts.
In the three years since its launching celebration, Zebpay has quickly growing itself as one of the leaders in the Indian cryptocurrency exchange industry.
It was one of India’s most-downloaded digital asset application on Android (the nation’s most popular smartphone operating system). According to the Zebpay website, there were three million active users of the platform who had access to 20 different digital assets across 22 trading pairs.
Whilst the RBI ban has meant that Zebpay has been used violent to call it a day, other smaller operations have changed their business models to skirt around the bank’s order. According to a report in Quartz, many domestic exchanges (included Zebpay itself before today’s announcement) have moved to crypto-to-crypto only businesses.
Instead of using the suitable on-ramp exchange services giving, first-time investors will have to depend on peer-to-peer services such as Local Bitcoins to gain exposure to Bitcoin. Following this, they can transfer their funds to crypto trading platforms without using a traditional bank or financial institution at all.
Whilst this approach completely avoids illegally the RBI’s order, the additional steps required have clearly harm the industry sufficiently for leaders such as Zebpay to cease operations.
Mark Peter is a full-time member of the reporting team at Bitconews. He is a finance major with one five of writing experience. He has not held any value in Bitcoin or other currencies. He joins Bitconews as a freelance journalist, blogger and forex trader.
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