Indian Bitcoin exchange WazirX has devised a plan for buying and selling cryptocurrencies "legally" in view of the Reserve Bank of India's ban on banking services.
The exchange has introduced a Peer-to-Peer (P2P) transfer facility to buy and sell cryptos for Indian Rupees (INR). People can directly deal with each other to transact on the currency while WazirX acts as an intermediary.
WazirX will keep an escrow account, to ensure that the seller's crypto is not released to the buyer until the seller confirms the receipt of INR.
The P2P crypto trading will go live as soon as the RBI ban on banking services dealing with crypto comes into effect next month.
Ever since RBI came out with its plan of banning crypto entities receiving banking services, there has been a spurt in P2P cryptocurrency trading in India. If P2P trading was popular outside the exchanges until now, WazirX exchange is perhaps changing the trend.
P2P crypto transfer solution will help the exchange bypass the Indian central bank's ban, which had on April 6 given a three-month time-frame until July 6 for Indian banks to end all existing dealings in cryptocurrencies and stop providing accounts to businesses and individuals dealing with such currencies.
Despite the Indian Supreme Court agreeing to hear the crypto petition against the ban on July 3, most leading cryptocurrency exchanges in India are preparing for any eventuality.
Another Indian Crypto exchange Koinex has also recently announced a similar P2P platform called Koinex Loop. BitBns is also working on a similar P2P network.
There have been reports that some cryptocurrency exchanges have shifted base from India due to the impending ban, while while some others have informed the central bank that they are willing to be regulated.
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