How big is the crypto exchange business in India?
With approximately 1.5 crore Indians holding crypto assets worth Rs 15,000 crore, crypto is still in the early stage of technology breakout. Today’s crypto valuations are because cryptos have only 3 per cent of the internet population. There is a huge number of people waiting to enter this space.
But cryptocurrency is still a grey area without any regulation and guideline.
It goes without saying that earnings from crypto trading are taxable like any other income and should be declared in the Income Tax Returns. We advise our users to consult with experts like chartered accountants on how to declare these earnings in ITR. This is where a crypto regulation will bring more clarity to this as we will understand how crypto is classified and taxed in India.
How has been the growth for WazirX?
Launched in 2018, WazirX is India’s largest and the fastest growing cryptocurrency exchange with over 6 million users. We provide key features like Instant INR (fiat) deposit and withdrawal options, Smart Token Fund to help crypto investors find expert traders, and let them manage their cryptocurrency portfolio. We also have the world’s first auto-matching P2P engine with high liquidity and option to login with Binance.
We launched NFT Marketplace on June 1. It is yet another great use case of the power of this innovative technology. Our trading volume has seen phenomenal growth in last six years. Trading volumes in December 2020 was $634 million and in May it reached $6.2 billion.
As pioneers in this space, we are committed to spreading the right information to our users by fostering a conducive environment to help them make informed choices. We are always looking to partner with credible institutional and industry thought-leaders to further our mission to educate people on crypto. We have conducted several webinars, partnered with a few ed-tech start-ups and run campus outreach at colleges like IIMs, XLRI, and more to spread blockchain and crypto awareness in India.
Do you think self-regulatory board for crypto exchanges is a good idea?
As an engaged community to curb all illegal activities and scams, we are associated with the Internet and Mobile Association of India (IAMAI) that is working on a code of conduct for cryptocurrency companies in India. We have a draft version ready and are working on updating the guidelines in line with the technology changes that have happened in the last few years. The code of conduct lays out a guideline for KYC/AML and other regulatory-related features and currently we follow and apply it for all WazirX users.