This past month many countries eased up on the quarantine measures which led to some industries such as hospitality and retail beginning to return to normal business procedures. At the same time, the crypto industry is one of the few sectors that has been showing stable growth throughout the pandemic. Now cryptocurrency exchange platforms have the perfect opportunity to expand their reach and attract new users. This is a time in which we can see important developments taking place that might shape the crypto industry’s future.
Indian media agency Bit2buzz conducted a survey of local crypto banks and exchanges including Wazirx, Unocoin, Coindcx, Pocketbits, Bitbns, Cashaa, Bank of Hodlers, and Oropocket. The survey attempts to understand “the effect of COVID-19 on Indian crypto blockchain entities,” the media company explained.
After the Supreme Court made a decision to lift the cryptocurrency ban in India ordered by the Reserve Bank of India (RBI), the industry has bloomed across the country. Coinciding with the global pandemic and economic crisis, crypto became an alternative financial asset to the Indian rupee whose yearly inflation rate is almost 10 percent. While most industries are suffering, crypto companies are seeing a massive surge and higher trading volumes amidst the lockdown measures. For example, Nischal Shetty, Wazirx CEO, shared that trading volume has increased by 470% on his exchange, while Cashaa noted a volume increase of more than 800%. Such industry reports confirm that the Indian cryptocurrency market will gain a significant share of the crypto market before the end of this year.
Chinese mining company, Ebang, announced plans to launch an offshore exchange for digital assets in efforts to create additional revenue for expansion overseas. The Hangzhou crypto market is expecting their revenue to grow by 40% this year, possibly reaching $200 million if the offshore exchange is launched. Ebang is considering applying for licenses in the U.S. or Singapore to reach new users. Currently, 90% of the company’s revenue comes from its Chinese user base.
By now, mobile users are making up a large chunk of crypto exchanges’ users, choosing to manage their digital asset portfolio on-the-go. This is why release of the HitBTC application on the App Store has been long awaited. According to a blog post by the exchange, this mobile app has a full range of account management options which will let HitBTC users access deposits, withdrawals, transfers and operation histories. HitBTC iOS application is joining the exchange’s existing Android application, which also underwent an update.
Other developments this month include good news regarding the crypto industry expanding and reaching new markets. French crypto wholesale startup, SheeldMarket, announced closing a €1 million round led by Draper Dragon and Axeleo Capital, followed by Kima Ventures, Acequia Capital and Charlie Songhurst.
One of the largest exchanges, Kraken, has announced the start of their operations in Australia. The Australian Dollar (AUD) will join other fiat currencies supported by the platform such as the US dollar (USD), Canadian dollar (CAD), Swiss franc (CHF), euro (EUR), British pound (GBP) and Japanese yen (JPY).
Trading platform Dex announced that it had obtained a Financial Services Permission (FSP) from the Financial Services Regulatory Authority (FSRA). Secured in the United Arab Emirates, the authorization will allow Dex to offer their services around the globe. The platform will support all major fiat currencies including USD and EUR as well as local currencies such as UAE.
We will continue to look out for more crypto news from all over the world. These are the steps that industry leaders are taking now to maintain the industry’s momentum and continue flourishing in the changing world. The mission behind these entities is granting more people financial freedom and autonomy, giving them the opportunity to maintain control over their own finances even amidst a global crisis.