The period of crypto growth has been predicted by many and there has been growing interest visible for crypto assets. Binance exchange recently added Indian Rupees [INR] on its p2p trading platform to draw in Indian traders but the payment method still posed an issue. Earlier on 21st August, Binance added 58 new payment methods, and India’s e-commerce payment system Paytm was among them.
Paytm has over 58 Mln account holders and is among the leading mobile commerce platform with around 450 Mln registered users. Indian cryptocurrency traders were looking to find different payment method and by adding Paytm to its list of payment methods, it appeared like Binance had taken the step within the right direction.
However, exchanges and users needn’t to celebrate for now. Recently reports revealed that Paytm moved to freeze bank accounts of users suspected of crypto trading. Consistent with reports, Paytm was freezing users’ accounts and later communicated the problems to the users. This practice of feezing accounts has been more prevalent among private banks across India.
RBI had restricted banks from offering services in cryptocurrency assets to users earlier in 2018, but Supreme Court of India quashed this circular later in March this year. Despite this, the central bank has not redacted its circular from the web-site and banks are holding onto this to flag users’ payments. Recently, HDFC bank too joined the league of banks – Axis and Kotak bank- in cautioning users about the “probable Virtual Currency transactions” reflected in their accounts & stated that the RBI guidelines prohibited such transactions.
As RBI chooses to ignore the Apex court ruling & didn’t provide banks with an updated memo, cryptocurrency users may find p2p trades as a great solution. India has been reporting higher p2p volume, with exchanges like Paxful gaining ground.
Earlier on 2nd August, P2P volume in India hit a yearly high of $1.80 Mln, following China with $2.110 Mln. China reported the leading market, however, was closely followed by India.