Some of the biggest names in the crypto exchange business are reportedly eager to capture India’s cryptocurrency trading market, even as the government is yet to issue clear-cut regulatory policies.
According to Reuters, sources say Kraken, Bitfinex and KuCoin are examining the potential for setting up shop in India.
Crypto exchange giant Binance entered the Indian market back in 2019, acquiring one of the country’s most recognizable cryptocurrency trading platforms WazirX.
The aforementioned trio could also pursue a similar entry strategy by acquiring or forming strategic partnerships with other Indian crypto exchanges.
According to the Reuters source, these global exchanges are already in the process of understanding the operating conditions in India including preliminary due diligence for acquiring local crypto exchanges.
Apart from partnering with Indian crypto exchanges, these platforms could also elect to go the subsidiary route to establish their presence in the country.
As previously reported by Cointelegraph, United States exchange behemoth Coinbase announced plans to extend its business to India and has since begun hiring engineering, customer support and software development experts in the country.
In April, the company also hired Pankaj Gupta to helm the role of vice president engineering for Coinbase India. Gupta is a former engineering lead for Google Pay’s India and Asia Pacific operations.
The renewed interest in India is coming despite the lack of a clear regulatory framework for cryptocurrencies in the country. Fears of a blanket ban earlier in the year seem to have given way for talk of more nuanced regulations.
However, the Reserve Bank of India remains firmly opposed to cryptocurrencies stating that its position on digital currencies remains unchanged. However, the central bank did clarify back in March that it had not instructed banks to shun crypto exchanges.
India’s Supreme Court overturned the RBI’s crypto ban back in March 2020 that prevented crypto exchanges from operating bank accounts in the country.
The RBI ban reportedly impacted the country’s crypto industry, which was worth about $12.9 billion at the height of the bull run in 2017.