India’s Bitcoin Exchanges Unite to Form Blockchain and Virtual Currency Association

A Coalition for Change

In a significant move for the cryptocurrency landscape, some of the leading Indian Bitcoin exchanges, including Zebpay, Unocoin, and Coinsecure, have banded together to create the Blockchain and Virtual Currency Association of India. This marks a historic moment as industry leaders come together to ensure a united front in tackling regulatory challenges and promoting the benefits of digital currencies.

RBI’s Cautionary Stance

Earlier this month, the Reserve Bank of India (RBI) issued a document that raised eyebrows across the industry, warning users about the risks associated with Bitcoin trading. Among its growth advantages, Bitcoin is also a rollercoaster ride when it comes to valuation—rife with unpredictability. The RBI’s call to action was clear: do your homework before diving headfirst into the world of digital currencies.

The Timing was Right

Saurabh Agarwal, the co-founder of Zebpay, indicated that the RBI’s circular was the catalyst the community needed to finally establish this association. “While we have been planning to create an association for some time, we finally pushed things after the circular,” he said, succinctly capturing the sentiment of a sector hungry for unity and clarity.

Learning from Global Consortiums

Across the globe, countries like the US and China have seen banks and financial institutions form various consortia aimed at compliance, with entities such as Hyperledger and R3CEV springing up to tackle regulatory hurdles. These alliances have not only fostered innovation but have also diminished friction between regulators and developers—something the Indian Bitcoin sector could significantly benefit from.

A New Era of Cooperation

The Blockchain and Virtual Currency Association of India is the trailblazer in forming a cohesive body within the Bitcoin industry. Currently representing the giants—Zebpay, Unocoin, and Coinsecure—this association is aspiring to become a voice for smaller startups as well. “The goal is to have uniform self-regulation amongst ourselves,” remarked Sathvik Vishwanath, from Unocoin, signifying a commitment to responsible growth.

Looking Ahead

Though the association currently comprises only four major players, plans are underway to incorporate up to 20 smaller startups and Blockchain firms, broadening its influence and market representation. Notably, 2016 has seen unprecedented growth for Indian Bitcoin exchanges like Unocoin, with industry experts like Blockstream CEO Adam Back noting India’s potential: “India represents a massive growth opportunity for Bitcoin.”

As the Indian Bitcoin market continues to evolve, collective industry efforts like the Blockchain and Virtual Currency Association of India shall be pivotal. With regulatory discussions and a shared vision, there’s hope for a future where Bitcoin could become not just an investment but a mainstream currency in India.