Following the implementation of Reserve Bank of India’s ban on banks from transacting with firms dealing in cryptocurrencies, investors find it difficult to exchange their crypto to the rupee, the domestic fiat money.
To resolve this issue, Huobi, the third largest cryptocurrency exchange by trading volume, has announced the launch of a P2P crypto-to- Indian Rupee (INR) trading in India. The platform will provide cryptocurrency traders with a practicable solution to trade their crypto against the Indian rupee. It should be remembered that RBI’s ban is applicable only for banks and not to individuals, who are free to trade in cryptocurrencies.
Previously, the cryptocurrency exchanges in India allowed Indian rupee deposits. Following the ban, the facility has been revoked by all the exchanges operating in India. The Huobi’s platform will be different in the sense that it will facilitate peer-to-peer deals. Presently, cash in person seems to be the best option available to Indian crypto traders and this platform will facilitate such kinds of transactions. The arrival of Huobi could fuel the growth of Bitcoin dealer network in India.
Announcing the plan to open a P2P cryptocurrency exchange, Huobi said
“We do think it’s time that we provide a solution of buying/selling digital assets with INR for all Indian users: Huobi OTC – a proprietary peer-to-peer (P2P) platform that allows users and merchants to trade digital assets with your local currencies. Every registered Indian user of Huobi can log in to the website to trade digital assets with INR”.
Indian traders using Huobi are incentivized in the form of free trades when transacting Bitcoin (BTC), Tether (USDT) and Ethereum (ETH).
Huobi is not the first exchange to launch P2P trading in India. Understanding the problems, which cryptocurrency traders might face, popular exchanges such as Localbitcoins, Koinex and Wazirx have started offering P2P trading in the country.
The launch of P2P trading platform is a part of Huobi’s long-term global expansion plans. The firm has already launched exchanges in Australia and the US. It is also planning to setup a trading exchange in the Europe, with headquarters in London. In South America, Huobi plans to open its headquarters in Sao Paulo, Brazil.
