Crypto News– TechCrunch reports that Coinbase has taken steps to inform its customer base via email, strongly recommending they expeditiously withdraw all funds held in their accounts. Furthermore, the exchange has taken the measure of suspending new user registrations for residents of India.
Coinbase Exits Indian Market as Regulatory Issues Force Closure
This strategic decision is the culmination of an arduous 18-month endeavor by Coinbase to re-establish its presence within the Indian market. Despite their earnest efforts, the exchange faced resistance from local authorities, ultimately leading to the departure of key executives, including Durgesh Kaushik, who assumed the role of Senior Director for Market Expansion just last year.
Coinbase initially entered the Indian market with a launch that included support for the Unified Payments Interface (UPI), a widely used local payment method. Unfortunately, the regulatory body overseeing UPI declined to officially acknowledge Coinbase’s presence in India. As a result, the exchange was compelled to suspend UPI support.
According to reports, Coinbase has already halted the registration of new users for its platform in India, simultaneously encouraging existing users to transition to the Coinbase Wallet. Indian customers have been promptly advised to withdraw any funds presently residing in their accounts.
It’s notable that Coinbase maintains investments in Indian cryptocurrency exchanges, such as CoinSwitch Kuber and CoinDCX, underscoring its previous aspirations for a robust presence in the Indian cryptocurrency market.
While the exchange is making the decision to exit the Indian market, it continues to chart a course of global expansion for its services. Recently, the company disclosed its intentions to enter the crypto lending sector, with a focus on serving institutional clients in the United States.
This choice to withdraw from India unfolds within the context of an evolving regulatory landscape for cryptocurrencies within the country. Indian authorities have taken a cautious approach to cryptocurrencies, emphasizing the need for international collaboration in the regulation of these digital assets.
The recent G20 Leaders’ Declaration is indicative of the global attention being directed toward cryptocurrency regulation, as it endorses recommendations for the oversight and regulation of crypto-assets and global stablecoin arrangements.
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