Indian Cryptocurrency Exchanges See Rapid Growth in P2P Trading

Indian Cryptocurrency Exchanges See Rapid Growth in P2P Trading

Exchanges

Trading volumes on exchange-escrowed peer-to-peer (P2P) cryptocurrency trading platforms in India are rising rapidly amid the banking ban by the country’s central bank. “Indians are warming up to P2P in amazing ways,” the CEO of a local crypto exchange told news.Bitcoin.com. Several other exchanges competing in the same space are seeing similar responses from their users.

Also read: Yahoo! Japan Confirms Entrance Into the Crypto Space

P2P Trading Volumes Growing Rapidly

Indian cryptocurrency exchanges that offer P2P services are experiencing rapid growth in trading volumes despite the cryptocurrency banking ban by the country’s central bank, the Reserve Bank of India (RBI).

Indian Cryptocurrency Exchanges See Rapid Growth in P2P TradingThe CEO of Indian crypto exchange Wazirx, Nischal Shetty, told news.Bitcoin.com that “In a bear market with no banking, Indians are warming up to P2P in amazing ways.” Wazirx launched its exchange-escrowed P2P service on July 10, a week before the RBI ban took effect.

Indian Cryptocurrency Exchanges See Rapid Growth in P2P TradingIndia’s central bank has banned financial institutions from providing services to crypto businesses. As the country’s supreme court continues to postpone hearing the petitions against the ban, a growing number of Indian exchanges have implemented their own solutions to the banking problem such as using P2P trading and launching cryptocurrency ATMs.

Shetty shared with news.Bitcoin.com:

P2P is working great for Wazirx. It’s helping us increase our daily trading volumes as well. In fact a few days ago we hit 100 BTC in daily trading volume for the first time … we’ve crossed over $5M in P2P in the 3 months since we’ve gone live.

The exchange revealed at the end of September that its trading volumes had grown 35 percent in the past few months, consistently reaching 50 BTC in daily trading volumes during the month.

Some More P2P Offerings

Indian Cryptocurrency Exchanges See Rapid Growth in P2P TradingThe exchange-escrowed P2P option has become a popular way for traders in India to cash out their coins. Recently, crypto exchange Instashift conducted a survey of its users and found that the majority of 50 respondents prefer to cash out their cryptocurrencies using P2P services. Instashift offers the trading of over 80 cryptocurrencies. With a community of over 900 members using its P2P platform, the exchange told news.Bitcoin.com, “We are clocking approximately around 2-5 million INR [$27,194 – $67,985] per week in India & our volumes are looking promising in Canada & Nigeria as well.”

Indian Cryptocurrency Exchanges See Rapid Growth in P2P TradingCoindcx also allows its users to convert over 80 cryptocurrencies into the Indian rupee. Its P2P platform Dcxinsta allows users to buy cryptocurrencies “instantly with INR … in less than 60 seconds,” according to the exchange’s website. On Thursday, Coindcx announced that “INR open order book” is now live on the exchange so users can now “place limit orders for trading in INR and see a complete order book using their existing INR wallets.”

The CEO of Coindcx, Sumit Gupta, explained to news.Bitcoin.com that the “Minimum buy or sell amount for any user is Rs 10. (approx. 15 cents)” on his exchange, emphasizing that “every Indian can now invest in crypto.” He further revealed that on his P2P platform:

We’re getting a phenomenal response from users with average no. of orders being more than 10 per Dcxinsta user.

Disclaimer: Bitcoin.com does not endorse or support claims made by exchanges in this article. None of the information in this article is intended as investment advice, as an offer or solicitation of an offer to buy or sell, or as a recommendation, endorsement, or sponsorship of any products or companies. Bitcoin.com is not 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.

What do you think of the growing popularity of P2P trading in India amid the RBI ban? Let us know in the comments section below.


Images courtesy of Shutterstock, Wazirx, Instashift, and Coindcx.


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Is Demand For Bitcoin Mining in Decline? Chip Maker Slashes Target

Taiwan Semiconductor Manufacturing Co. (TSMC), the world’s largest dedicated independent chipmaker, has predicted a drop in demand from the cryptocurrency mining community in the fourth quarter this year. The growth target of 7 to 9 percent was slashed to 6.5 percent partly due to the demand dynamics of bitcoin miners.Crypto Mining Demand For TSMC Chips to Weaken Further In Q4 2018, Says CEOC. C. Wei, Chief Executive Officer and Vice Chairman of TSMC told investors at the company’s third quarter 2018 earnings conference that business growth would be offset by “continued weakness in cryptocurrency mining demand”.“Moving into fourth quarter, despite the current market uncertainties, our business will benefit from the continuous steep ramp of
7-nanometer for several high-end smartphones as well as the demand for 16/12-nanometer for the launches of new-generation GPU and
AI. However, this growth will be partially offset by continued weakness in cryptocurrency mining demand and inventory management by
our customers.”
The company forecasts growth between 5 and 7 percent for the overall semiconductor market excluding memory, while foundry is expected to grow between 6% and 7%. Weakening demand from cryptocurrency miners has forced the firm to adjust the growth estimate to 6.5 percent in U.S. dollar terms, according to the chief executive.“However, our business is also negatively impacted by further weakening of cryptocurrency mining demand. As a result, we estimate our 2018 growth rate will be about 6.5% in U.S. dollar term, which is close to the foundry industry’s growth but slightly below our 7% to 9% guidance given in the last conference.”The downshift in mining profits is the main responsible for the company’s revision of its full-year sales target, citing uncertainty in the cryptocurrency market as its reason. In April, the Taiwan Semiconductor Manufacturing Company lowered its 2018 revenue guidance to 10% growth from 10-15%, estimating that about 10% of the Asian chipmaker’s revenue depends on cryptocurrency mining demand.Moreover, the entrance of Samsung in the global cryptocurrency mining sector could be providing TSMC their first real competitor in the sector, which in turn, may eventually push the company to lower its sales targets in years to come. Samsung has started the production phase of bitcoin and cryptocurrency mining equipment and ASIC mining chips earlier this year. The company intended to manufacture GPU miners for miners targeting small cryptocurrencies in the upcoming months.President Trump’s trade tariffs, on the other hand, may hurt future trade volumes of Chinese companies producing cryptocurrency mining hardware. This may eventually benefit TSMC as competitors from the People’s Republic of China will have a hard time in the race for the U.S. market.

Major Online Rental Platform Allows Users to be Paid in Ripple

Omni, the online item rental and storage management startup, is now allowing its users to get paid in Ripple, capitalizing off of the cryptocurrency boom. The addition of the XRP payment method comes after the startup raised $25 million in XRP this past January.The company will be paying users out of their own stash of XRP, which is worth significantly less than it was in January, but users will still have the option to cash out in USD if they aren’t interested in the volatility of cryptocurrency.Omni’s founder and CEO, Tom McLeod, spoke to TechCrunch about the company’s latest move, confidently expressing that all companies should have a crypto strategy in order to prepare for the future.“I think any company scaling today has to have a crypto strategy. This is the start of ours,” he said.Omni originally began as an item storage solution that is significantly more efficient and cost effective than traditional storage methods, like renting a storage unit. When a user has an item that they need stored, Omni sends a representative to pick up, photograph, and transport the item to a large storage facility, which proves to be significantly cheaper than renting an entire storage unit for one item.Once a user needs the item (or items) back, they can request to have them delivered to their residence within a few hours of sending the request, 24/7. The service has since added another, more profitable, feature, called Marketplace, that allows users to rent out their unused items while generating side income.Omni is now requiring users to itemize the unused items that they are looking to rent, rather than grouping them in one container for Omni to take. User’s looking to offload and rent out items grouped in a suitcase or a large container now must pay double the storage fee, while collecting the same rental profits from the items in the container.“Marketplace is driving Omni growth, and has always been the core of the long-term vision. Closed containers don’t grow the business, but move almost as much. We’re basically the same price as competitors now for them. It also makes it potentially more likely that small items will be itemized. We’re going to launch kits/playlists that will allow for grouping in the coming months,” McLeod explained.Omni’s services are currently available in San Francisco and Portland, but will likely expand to other major cities in the coming months.Ripple Could Benefit Both Omni and UsersIn addition to offloading their bag of XRP, both users and Omni can benefit by collecting profits in cryptocurrency. Users can unlock liquidity in their items while growing their investment portfolio, while Omni can lower their transaction fees that they are forced to pay when users cash out and transfer USD.McLeod explained the double-sided benefits of using XRP, saying:“In every other crypto investment scenario, you have to risk your cash — this way you can put items you already own to work for you and have them earn XRP while you relax. With this integration, you can basically double dip on ownership-as-investment by both unlocking liquidity early and investing some or all of the proceeds back into the crypto markets.”Featured image from Shutterstock