{"id":15879,"date":"2022-12-27T04:34:15","date_gmt":"2022-12-27T04:34:15","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/indian-crypto-market-suffers-significantly-experts-say-trading-volumes-unlikely-to-recover-anytime-soon-markets-and-prices-bitcoin-news\/"},"modified":"2022-12-27T04:34:15","modified_gmt":"2022-12-27T04:34:15","slug":"indian-crypto-market-suffers-significantly-experts-say-trading-volumes-unlikely-to-recover-anytime-soon-markets-and-prices-bitcoin-news","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/indian-crypto-market-suffers-significantly-experts-say-trading-volumes-unlikely-to-recover-anytime-soon-markets-and-prices-bitcoin-news\/","title":{"rendered":"Indian Crypto Market Suffers Significantly \u2014 Experts Say Trading Volumes Unlikely to Recover Anytime Soon \u2013 Markets and Prices Bitcoin News"},"content":{"rendered":"

(Originally posted on : Bitcoin News )<\/b>
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Crypto trading volumes in India have plunged significantly this year. The FTX meltdown has exacerbated the problem, hurting \u201cthe sentiment across crypto tokens.\u201d Local crypto experts are not expecting a recovery in the near future \u201cUnless something dramatic happens\u201d in the upcoming Union Budget.<\/strong><\/p>\n

Indian Crypto Market \u2018Dead\u2019 Since April, Says Expert<\/h2>\n

Cryptocurrency trading volumes at major exchanges in India have plunged significantly this year. Since the collapse of crypto exchange FTX, major exchanges in India lost between 34% and 50% of trading volumes, Moneycontrol reported Monday, citing data from research firm Crebaco. However, the decline began long before the FTX implosion. One of the largest crypto trading platforms in India, Wazirx, lost 97.99% of its trading volumes from the beginning of the year to Dec. 22.<\/p>\n

Crebaco CEO Sidharth Sogani told the publication:<\/p>\n

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I don\u2019t think a lot of this recent trading volume plunge was driven by FTX. The market in India has been dead since April 2022.<\/p>\n<\/blockquote>\n

\u201cI don\u2019t expect any action or recovery for the sector in India in the next six months, until something major gets announced in the Union Budget,\u201d he continued.<\/p>\n

Wazirx\u2019s vice president of marketing, Rajagopal Menon, opined: \u201cIt all comes down to the removing \/ reducing the TDS (tax deducted at source) and capital gains without setoff for losses. No one is trading on Indian exchanges because of that.\u201d<\/p>\n

In this year\u2019s Union Budget 2022, the Indian government imposed a 30% income tax on virtual digital assets, including cryptocurrencies and non-fungible tokens (NFTs), and a 1% TDS on all transactions of 10,000 rupees ($121) or more.<\/p>\n

Menon stressed:<\/p>\n

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Unless something dramatic happens in the Budget this year, we don\u2019t see a steady recovery in trading volumes anytime soon.<\/p>\n<\/blockquote>\n

How FTX\u2019s Collapse Impacts Indian Crypto Industry<\/h2>\n

\u201cIndian users have not been too badly affected by FTX except for the sentiment. The negative sentiment around the sector got exaggerated by FTX,\u201d a top crypto exchange executive told the publication. The person elaborated:<\/p>\n

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Indian investors, after TDS, have moved to Binance and not FTX because Binance had peer-to-peer (P2P) transactions, FTX doesn\u2019t. If you have INR, the only foreign exchanges you can trade on are Binance and Kucoin.<\/p>\n<\/blockquote>\n

Sogani similarly explained that the FTX meltdown hurt \u201cthe sentiment across crypto tokens.\u201d He added: \u201cWhat came out later on has pushed the crypto industry behind by a few years.\u201d<\/p>\n

Meanwhile, India still has not come up with a policy on crypto. The Indian government is planning to discuss crypto regulations with the G20 countries in an effort to establish<\/a> a technology-driven regulatory framework for crypto assets, the country\u2019s finance minister previously revealed. The government recently updated<\/a> parliament on the status of its cryptocurrency bill.<\/p>\n

India\u2019s central bank, the Reserve Bank of India (RBI), has continued to push for the banning of all cryptocurrencies, like bitcoin and ether. RBI Governor Shaktikanta Das recently said that the next financial crisis will come from crypto<\/a> if it is allowed to grow.<\/p>\n

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Binance<\/a>, crypto trading volumes<\/a>, cryptocurrency trading volumes<\/a>, ftx<\/a>, FTX impact India<\/a>, FTX Indian users<\/a>, India<\/a>, Indian crypto trading volumes<\/a>, indian government<\/a>, TDS<\/a>, Union budget<\/a>, Union budget crypto<\/a>, Wazirx<\/a><\/div>\n<\/div>\n

Do you think the Indian government will announce something positive for the crypto industry next year? Let us know in the comments section below.<\/strong><\/em><\/p>\n

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\nKevin Helms <\/h6>\n

\nA student of Austrian Economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open-source systems, network effects and the intersection between economics and cryptography.

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Image Credits<\/b>: Shutterstock, Pixabay, Wiki Commons<\/em><\/p>\n

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Disclaimer<\/strong>: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com<\/a> does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.<\/p>\n<\/div>\n

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