The volume of trading on cryptocurrency exchanges fell by 72% in India
Over-regulation in the crypto space has led the Indian crypto market to a severe decline in trading volume since April 1, 2022.
Indian regulators have introduced a 30% tax on income from cryptocurrencies from the first days of April. This has become a major setback for many traders who are not willing to take risks in the current environment.
According to Crebaco analysts, a decrease in the number of exchange transactions was noticed on the 4 largest exchanges: WazirX, ZebPay, CoinDCX and BitBns.
JUST IN: 🇮🇳 #Crypto trading volume in India has gone down as much as 72% in some exchanges since the new tax law came into effect on April 1.— Watcher.Guru (@WatcherGuru) April 11, 2022
Investors reacted the most to the ban on WazirX, where trading volume fell by 72%. 2 platforms recorded a 52% decline (ZebPay and CoinDCX), and 41% on BitBns.
The co-founder of data provider Cerbaco, Sidharth Sogan, believes these are not final numbers. Trading volumes on Indian cryptocurrency exchanges may fall further. Positive indicators should not be expected in the near future, as the high tax puts local traders at a disadvantage.
According to UnoCoin platform CEO Sathvik Vishwanath, politics hurts liquidity and innovation.
People earning less than 10L per year is affected by 30% fixed income tax on crypto. 1% TDS is affecting the market makers and liquidity providers. Both are needed for better crypto ecosystem in India.#reducecryptotax #faircryptotax Day-68 #IndiaWantsCrypto @Unocoin— Sathvik Vishwanath (Unocoin) (@sathvikv) April 10, 2022
Recall that the decision to introduce a new tax was made in January 2022, despite public protests. Parliament approved this decision, and the law came into force on April 1.
If you decide to try your hand at the world of cryptocurrencies, do it with a trusted and reliable partner - HUOBI
CoinShark is not responsible for the content, accuracy, quality, advertising, products or any other content posted on the site. This article is for informational purposes, prepared on the basis of materials and information from open sources. Cryptocurrency is a high-risk asset, investments in it can lead to losses. Readers should do their own research before taking any action.