The Cryptocurrency Rollercoaster in India
India’s relationship with cryptocurrency is akin to a thrilling rollercoaster: filled with exhilarating highs and confusing lows. With a vibrant community of crypto enthusiasts, the country still grapples with regulatory uncertainties that keep many on the edge of their seats.
Unocoin’s Bold Move into Derivatives
Indian exchange Unocoin is set to make waves by launching derivatives options on its platform in the coming months. However, the ever-present restrictions from the Reserve Bank of India are adding hurdles. Co-founder Sathvik Vishwanath expressed his frustration, noting,
“while we believe it is pretty much the time to launch a derivatives market, the restrictions from Reserve Bank of India on banks is making the on-ramp and off-ramp complicated and is keeping the average customer away.”
Delta Exchange Seizes Untapped Potential
Pankaj Balani, the mastermind behind Delta Exchange, sees the situation differently. With a background in trading derivatives at the Union Bank of Switzerland, he recognizes the untapped potential in crypto markets. He confidently states,
“We see derivatives are one of the areas that is really under-penetrated in crypto.”
Delta’s move to enhance leverage options for Bitcoin and Ether could put it ahead if regulations turn favorable. With a growing user base of over 25,000, they are clearly hoping for a more welcoming environment.
Is India Warming Up to Crypto?
Despite the push from exchanges like Unocoin and Delta, India’s regulatory landscape has stifled growth in the crypto sector. The development of a digital rupee is still in limbo, and the future is murky at best. Entrepreneur Evan Luthra pointed out the complexities of regulating cryptocurrencies in a nation with over a billion diverse residents, explaining the challenges in creating a unified regulation across various states.
Flickers of Support in an Uncertain Environment
Amidst the unclear regulatory landscape, India has showcased some support for crypto innovation. On January 26, Prime Minister Modi honored the developer of a crypto price tracking application with the Bal Shakti Puraskar 2020, acknowledging the contributions of the youth. Perhaps most significantly, India’s Supreme Court recently overturned a crypto ban imposed by the Reserve Bank of India, offering a glimmer of hope for the industry.
Conclusion: Will India Find Its Crypto Mojo?
As India wrestles with its complex relationship with cryptocurrency, one thing remains clear: the nation is filled with potential innovators willing to brave the regulatory storm. The future of crypto in India hangs in the balance, and only time will tell if the country will fully embrace the digital revolution.
