Blockchain and cryptocurrency firms were present in large numbers at the World Economic Forum meeting this year

special things

  • RBI had demanded a ban on cryptocurrencies

  • There is no official data on the size of the crypto market in the country

  • CoinSwitch is valued at around $1.9 billion

CoinSwitch believes that there is a need to eliminate regulatory uncertainty and protect investors in order to promote the crypto market.

The Reserve Bank of India (RBI) had demanded a ban on cryptocurrencies, but the central government's imposition of tax on profits from crypto transactions is being seen as the government's support to the crypto industry. 



Ashish Singhal, chief executive officer of CoinSwitch, said, "Users don't know what will happen to their holdings. Is the government going to ban this or how will it be regulated?"

"Regulations will make things more clear," Singhal, a former engineer at global e-commerce giant Amazon, told Reuters during the World Economic Forum.

Blockchain and cryptocurrency firms have been present in large numbers at the World Economic Forum meetings this year.

RBI had raised apprehensions regarding private cryptocurrencies.

However, Prime Minister Narendra Modi had said in December last year that such emerging technologies should be used to strengthen democracy, not weaken it. 



However, crypto exchanges in India often face difficulties in tying up with banks for transfer of funds.

CoinSwitch and some other exchanges last month closed deposits in rupees through a network owned by the government.

This has increased the concern of investors.

Singhal said that there has been some relief from regulation on advertising and taxing crypto-related transactions, but a lot more needs to be done.

He said that laws should be made regarding crypto in the country. 



These should include rules for identity verification and transfer of crypto assets, besides a mechanism for exchanges to track transactions and report them to the competent authority, if required.

There is no official data available about the size of the crypto market in the country.

However, global crypto exchange Coinbase estimates that the number of crypto investors in the country is around 20 million and they have holdings of around $6 billion.

CoinSwitch is valued at around $1.9 billion.

It claims that it is the largest crypto firm in the country with more than 18 million users.