According to a report from the Economic Times, just a few days after its launch in the country, Coinbase has decided to shut down the Unified Payments Interface (UPI) In India during the weekend.
Before its launch in India, Coinbase, which is said to be the biggest cryptocurrency exchange in the United States, regarding trading volume, as recently come under fire for removing the ability for users to buy cryptocurrencies using Unified Payments Interface. The exchange had preciously said that it would enable crypto transactions though the Unified Payments Interface, but recently the exchange has been hovering in the eyes of the National Payments Corporation of India (NPCI).
Coinbase in Question
The National Payments Corporation issued an official statement saying that they have no information regarding any cryptocurrency exchange that is using Unified Payments Interface. This payments system itself was originated from the NPCI to encourage banking transactions using a mobile device. Going even deeper, the NPCI was initiated by partnership between the Reserve Bank and India and the Indian Bank’s Association, in order to develop a strong payment and settlement system in India.
Regarding a recent report from the Outlook, Coinbase responded by saying that they have recognized the statement that was issued by the National Payments Corporation of India in light of the utilization of Unified Payments Interfaces from crypto exchanges and are ready to engage with NPCI and other respective authorities in order to make sure that users are satisfied and assured with what Coinbase as a cryptocurrency exchange intends to do in the country and how they will be able to meet the expectations of crypto traders in India.
Indian’s Rough Crypto Market
The Economic Times also mentioned, referring to multiple sources that the top-used MobiKwik e-wallet for crypto payments in India has decided to put a halt on its services due to regulations not being clear. The recent 30% tax Implemented on every cryptocurrency transaction has also massively affected, not only the lives of individuals, but also thousands of firms who are dependent upon the use of cryptocurrency, in order to survive in the market.
The Indian government has had a rough stance towards cryptocurrencies and this current situation shows how it is sort of milking cryptocurrency transactions for its own benefit instead of motivating the people to develop new opportunities.