Launched earlier in the year 2015, Zebpay startedits serviceswitha mobileapplication only that quickly becamethe most-downloaded bitcoinwalletand exchange apps within India. Using a KYC model, Zebpaywas struggling to comply with the regulatory framework within the countryfor some time but the company while recently declared terminating of all its exchange related services yesterday following the regulatory banking ban on the crypto trade.
The company however forecasted upto1,000,000new usersusingits platformeach monthat the time, up from200,000 new users alreadyjoinedthe platform.
Rumoured to be in talksto liftan additional $4 Mln in funding at earlier,Zebpay iscurrentlystopping all of its exchange services at 1600hrs since yesterday…i.e 28th Sept. The movecould be adirect consequence of a immobilized move introduced by the head bankofIndia[RBI], India’scentral bank, to force all regulatedfinancial institutions–along withbanks – fromprovidingservices to the domestic cryptocurrencyecosystem.
In the announcement by Zebpay, it added:
“The curb on bank accounts has immobilized our, and our customer’s, ability tointeractbusiness meaningfully. As for now,we areunableto search outa reasonableway toconduct the cryptocurrency exchange business.”
All unexecuted crypto-to-crypto ordersarecanceled, Zebpaymentioned, with all tokens to beaddedback to customers digital wallets. Thewalletservice willstillworkfor patronsto deposit and withdraw their coins,Zebpayaforementioned. However, it remains to be seen ifthis walletgains development supportwithin the coming future.
Even earlier this month, Zebpay warned its users about the fiat withdrawals to become impossible ahead of the looming banking ban that tookresulton5thJuly this year,A daybefore the banking ban, the company stopped allfiatdeposits and withdrawals at the exchange. However, several other exchanges within the country meanwhile are still searching for a novelwaysto circumvent this ban.