The effect of India’s Central Bank’s fiat ban for crypto-based business is further showing its impact. After the demise of Zebpay and Coindelta, which was also because of the same ban, Indian crypto exchange Koinex is downsizing its offering. The company has announced that it will be delisting 6 tokens: Achain [ACT], CyberMiles [CMT], GAS [GAS], Nano [NANO], NEO [NEO] and Zcoin [XCZ]
Lack of volumes on Indian exchanges have resulted in low trading activity: Koinex
Well, things don’t seem to be going really good for the Indian crypto exchanges as most of them are struggling to live up. According to a recent article published by Koinex, a prominent Indian crypto exchange, the exchange points out that the fiat ban imposed by Reserve Bank of India had dried up the volumes in Indian exchanges which in turn has resulted in low trading activity. The exchange further states that under these circumstances, it was not viable to maintain the coins with low trading activity and hence it will be delisting six tokens namely Achain [ACT], CyberMiles [CMT], GAS [GAS], Nano [NANO], NEO [NEO] and Zcoin [XCZ]
According to the announcement, there were a variety of reasons the exchange chose these tokens and decided to delist them. These reasons include
- Lack of volumes on Indian exchanges for these tokens have resulted in low liquidity for trading activities.
- The frequent node downtimes of a few tokens have created multiple issues for withdrawals and deposits.
- The exchange has received a multitude of tickets against these tokens where users have voiced their concerns regarding the long-trading wait time.
- Additionally, the community support for these coins has decreased significantly from the past few months.
The delisting details on these tokens according to the announcement were
- The deposits of all the delisted tokens will not be processed after 23: 59 PM IST, 11th April 2019.
- These tokens will not be tradable on Koinex exchange as well as Express, our instant crypto-to-crypto converter from 23:59 PM, IST 17th April 2019 onwards
- 18th April 2019 ONWARDS all orders on the order book will be canceled. Tokens will be returned to their respective Koin wallets. [Example: If you have placed a sell order for 100 ACT tokens, after 18th April the order will automatically be canceled and 100 ACT will be deposited to your respective ACT Koin wallet.]
- You can withdraw your tokens till 23:59 PM, 23rd April 2019. [Note: Post the deadline (23:59 PM, 23rd April 2019), users will NOT be able to withdraw tokens as we will be shutting down all the operations of the delisted tokens.]
Things have really been tough for Indian exchanges since the time the Reserve Bank of India has pulled the plugs on fiat support for crypto business in the country last year. The country has already seen two exchanges closing down their operations and has seen several alterations to business models of the existing businesses. Now all eyes are on the apex court of the country which is due to announce its judgment on the ban in July 2019.
Will the apex court rule in favor of the crypto businesses or will this slow poison choke the crypto industry in India ? Do let us know your views on the same.