Skip to main content

Indian Supreme Court Takes Too Long on Crypto Case – Another Exchange Shuts Down

Indian Supreme Court Taking Too Long on Crypto Case - Coindelta Terminates Service

The inaction of India’s supreme court to end the prolonged banking restriction has forced another cryptocurrency exchange to shut down. The exchange has given its users 30 days to withdraw funds at increased fees, prompting several other exchanges to offer to refund these fees for customers switching to them.

Also read: Indian Supreme Court Set to Hear Crypto Case on March 29

Coindelta Shuts Down

Indian crypto exchange Coindelta announced its service termination on Saturday. The exchange wrote, “we will no longer be able to provide exchange services for cryptocurrencies,” elaborating:

The curb on the bank accounts by RBI has made us handicapped in order to provide seamless deposit and withdrawal services. There has not been any significant progress in the supreme court case which makes it difficult to predict when we will see the regulation.

The central bank, the Reserve Bank of India (RBI), issued a circular in April last year banning banks from providing services to crypto businesses including exchanges. The ban went into effect in July and banks closed the accounts of crypto exchanges at that time.

Indian Supreme Court Takes Too Long on Crypto Case - Another Exchange Shuts Down

The banking restriction has put many crypto businesses in limbo. Zebpay, formerly one of the largest crypto exchanges in India, was forced to close down its exchange operations in the country in September last year.

A number of industry participants have filed writ petitions against the ban which the supreme court originally scheduled to hear in September last year. However, the case has repeatedly been postponed. During the most recent hearing which took place on Friday, the court adjourned without addressing the ban until at least July.

Expensive to Run an Exchange

The team at Coindelta, an 18-month-old exchange, explained that “Running the exchange is very expensive in such [an] unfavourable environment.” Noting that “We have been operating at a minimal trade fee, bearing all the costs ourselves ensuring that your trading experience remains unaffected in the current unregulated environment,” the team admitted:

It has been really difficult for us to operate Coindelta exchange for the last 6 months … Economically, it’s no longer viable to continue with the exchange.

According to Saturday’s announcement, Coindelta’s exchange services were suspended and all open orders canceled in all markets at 2:00 p.m. (Indian time) on March 30. However, the wallet services will continue until April 29.

Indian Supreme Court Takes Too Long on Crypto Case - Another Exchange Shuts Down

Customers Forced to Withdraw Funds at High Fees

Coindelta has requested that its customers withdraw all their funds within 30 days of the suspension, after which all requests must be submitted to support. “There will be a fixed fee applicable on all the withdrawals,” the exchange warned.

According to the Indian crypto community, these fees are high compared to what other exchanges are charging. For example, “they increased the XRP withdrawal fees to 10 XRP,” Coindcx CEO Sumit Gupta told news.Bitcoin.com, emphasizing that this fee is “a lot” since his exchange charges 0.01 XRP for withdrawals. Coindelta’s BTC withdrawal fee is 0.002 BTC, worth about $8.19 at the time of writing.

Indian Supreme Court Takes Too Long on Crypto Case - Another Exchange Shuts Down

Nischal Shetty, CEO of crypto exchange Wazirx, tweeted that he “Got many messages that withdrawal fees from Coindelta have been increased,” adding that his exchange is offering Coindelta’s users 100 percent refund of withdrawal fees if they switch to Wazirx.

Another Indian exchange, Bitbns, has made a similar offer. “We are waiving off/refunding any fee incurred while depositing funds to Bitbns from any other cryptocurrency exchange across the world. This means you can now transfer your funds from any crypto exchange to Bitbns without bearing any transfer charges,” the exchange announced on Sunday.

What do you think of the Indian supreme court taking so long to end the RBI ban that Coindelta has to shut down? Let us know in the comments section below.

Images courtesy of Shutterstock.

Need to calculate your bitcoin holdings? Check our tools section.

The post Indian Supreme Court Takes Too Long on Crypto Case – Another Exchange Shuts Down appeared first on Bitcoin News.



from Bitcoin News https://ift.tt/2FCBBeD
Labels:

Comments

Post a Comment

Popular posts from this blog

Mt Gox Creditors Updated, Trustee Says Rehabilitation Custodian Is ‘Currently Preparing to Make Repayments’

On August 31, 2022, the Mt Gox trustee Nobuaki Kobayashi explained in a recent letter that the rehabilitation custodian is “currently preparing to make repayments” to Mt Gox creditors. Trustee Updates Mt Gox Creditors — Repayment Date and Exchange Still Unknown Last week speculation and rumors concerning the release of 140K bitcoin ( BTC ) from Mt Gox littered social media platforms and headlines. Bitcoin.com News covered the situation six days ago as a number of people and Mt Gox creditors called the rumors “ fake news .” During that same period of time, a bitcoin whale transferred 10,000 BTC to unknown wallets, and a 2018 annotation , heuristics, and clustering methods show the funds likely originated from the June 2011 Mt Gox hacks. Following the mysterious whale transfer, last Wednesday, Mt Gox published an official update from the court trustee Nobuaki Kobayashi that explains the court is “currently preparing to make repayments” to creditors. Mt Gox creditors have been wait...
Post a Comment
Read more

Economists Discuss Russia, China Potentially Developing Gold-Backed Currency That Could Undermine US Dollar

Economists have weighed in on reports that China and Russia may be developing a new gold-backed currency that could undermine the U.S. dollar’s status as the world’s primary reserve currency. Russia and China May Be Developing Gold-Backed Currency Several experts have shared their views on Russia and China potentially creating a new gold-baked currency, Fox Business reported Saturday, emphasizing that China has been buying up huge quantities of gold while Russia was forced off the U.S. dollar due to sanctions imposed on the country following its invasion of Ukraine. The news outlet noted that some experts have cautioned that these moves, along with the closer relationship that has developed between Moscow and Beijing, point to the likelihood of China attempting to launch a gold-backed currency. However, neither Russia nor China has officially confirmed plans for such a currency. Craig Singleton, senior fellow at the Foundation for Defense of Democracies and a former U.S. diplomat,...
Post a Comment
Read more

Fidelity Discusses Bitcoin as Portfolio Insurance — Could Soon Stand in ‘Stark Contrast’ to Path Fiat Currencies Take

Fidelity Digital Assets, a subsidiary of Fidelity Investments, says that bitcoin could be considered portfolio insurance. The firm notes that the cryptocurrency “may soon stand in stark contrast to the path that the rest of the world and fiat currencies may take — namely the path of increased supply, additional currency creation, and central bank balance sheet expansion.” Fidelity Says Bitcoin Could Be Portfolio Insurance Fidelity Digital Assets, a subsidiary of Fidelity Investments, recently published a research study titled “The Rising Dollar and Bitcoin.” The research outlines “how bitcoin could be considered portfolio insurance” as the rising dollar impacts global currency markets. “The strengthening U.S. dollar is wreaking havoc among other countries and may put pressure on the Federal Reserve to soon reverse its tightening monetary actions, something that has precedent based on 1985’s Plaza Accord,” Fidelity explained. In addition, “more monetary debasement may be needed to ...
Post a Comment
Read more