The crypto industry has the potential to support the economy of India. Moreover, cryptocurrencies such as Bitcoin, Ethereum, and others may help to solve at least some of the problems connected with fiat currencies. Also, the cryptocurrency custodian BitGo will provide its services to Indian exchange CoinDCX. Thanks to this decision, BitGo will offer secure storage and partial insurance for assets traded on the platform.
As a reminder, a U.S. based crypto firm that claims to process more than 20% of all Bitcoin transactions. Moreover, it provides an insurance policy covering up to $100 million in value through a syndicate of insurers.
Interestingly, based on the information Indian exchange CoinDCX already started to transfer its assets to BitGo’s wallets.
BitGo and crypto industry in India
Crypto owners will be happy to hear that all cryptocurrencies on CoinDCX will be secured in omnibus and segregated hot and cold wallets with two-factor authentication for all accounts.
Moreover, a small part of funds traded on the CoinDCX exchange will be protected by BitGo’s $100 million insurance policy.
Furthermore, a U.S.-based cryptocurrency custodian already provides custody services to multiple crypto exchanges such as Bitstamp and LGO Markets. Also, several months ago in February, it established two separate crypto custodians in Germany as well as Switzerland. This is not the end of the story as in March, BitGo launched its first international crypto lending service.
Importantly, India’s Supreme Court overturned a ban on banks’ services to crypto-related firms. This ruling help to revive the local crypto industry. For example, CoinDCX secured foreign investments from Polychain Capital as well as Bain Capital Ventures and BitMex operator HDR Global Trading.
Also, veteran crypto exchange WazirX reported a month-on-month growth of more than 80% in March as well as April. Moreover, in the first quarter of 2020 trading volumes on CoinDCX increased by 47%. Despite all challenges, the local crypto industry continues to develop and authorities should pay more attention to cryptocurrencies.