Global crypto exchange CrossTower enters India despite policy uncertainty

Rathi Bars

07/09/2021 24:30

(Repeats with no changes to text)
    By Nupur Anand
    MUMBAI, Sept 6 (Reuters) - U.S.-headquartered digital
currency exchange CrossTower has set up a local unit in India
and launched a trading platform to capture the growing domestic
crypto market even though the fate of cryptocurrency in India is
still unclear.
    CrossTower India has already hired 35 people and plans to
increase headcount to 100 in six to nine months, the company
said. The company is following in the footsteps of market leader
Binance, which entered India in 2019. 
    India's digital currency market has grown from $923 million
in April 2020 to $6.6 billion in May 2021, according to
Chainalysis, a blockchain data platform. Among 154 nations,
India ranks 11th in cryptocurrency adoption, it said.
    "India will play a pivotal role and we plan to use the
country as a hub to expand into other geographies," Kapil Rathi,
co-founder and Chief Executive Officer of CrossTower, told
Reuters. 
    As a late entrant to India, the company plans to increase
its market share by providing competitive pricing and relying on
advanced technology infrastructure, Rathi added.
    Several other global exchanges are considering coming to
India despite the lack of regulations on crypto and concerns
about an unfavourable regulatory environment.  urn:newsml:reuters.com:*:nL3N2NK21Y
    "We believe we are taking a calculated risk," said Rathi.
    The government was set to present a bill to parliament by
March that proposed a ban on cryptocurrencies, making trading
and holding them illegal. But the bill was not tabled in the
session and there is uncertainty about the government's plans.
    The central bank is planning to launch its own digital
currency by December, however.

 (Reporting by Nupur Anand; Editing by Sonya Hepinstall)
 ((Nupur.Anand@thomsonreuters.com; +9122 68414388;))