Tech
India’s CoinDCX Buys UAE-Based BitOasis to Expand Crypto Reach in MENA Region: Tech: Tech Times
From Quincy JonTech Times Jul 04, 2024 07:19 AM EDT
India’s largest cryptocurrency exchange, CoinDCX, has acquired BitOasis, a United Arab Emirates (UAE)-based cryptocurrency trading firm, in its first expansion into the Middle East and North Africa (MENA) region, for an undisclosed amount.
The two companies began collaborating last year when CoinDCX Invested in BitOasisCoinDCX noted that BitOasis has a Bahraini license and expertise in Dubai, paving the way for development, according to Gadgets360.
Based on his six years of activity in India, where he registered with the Financial Intelligence Unit, CoinDCX co-founder Sumit Gupta said CoinTelegraph that the company was ready to pursue a compliance-driven strategy first in the MENA region.
Gupta noted in his post that his company has distinguished itself “for its unwavering compliance and investor protection” in India and stressed that CoinDCX maintains “the same standards” wherever it operates.
Retail, institutional, and high net worth cryptocurrency investors trade over 60 cryptocurrencies on BitOasis, founded in 2016. This platform has processed over $6 billion in trading volume and raised over $40 million from investors.
BitOasis was the first crypto platform to register with the UAE Financial Intelligence Unit in 2021. BitOasis co-founder and CEO Ola Doudin is optimistic that the acquisition will accelerate the company’s growth.
They also expect this to lead to “a broader product portfolio, improved cryptocurrency services, access to more coins, liquidity, trading options and user experience.”
(Photo: Jack Taylor/Getty Images) In this photo illustration, the “altcoin” cryptocurrencies litecoin, ripple, and ethereum are arranged for a photograph next to a smartphone displaying the current price chart of ethereum, on April 25, 2018 in London, England.
No migration to CoinDCX and BitOasis accounts
CoinDCX’s acquisition of BitOasis aims to improve the user experience on both platforms by expanding product offerings, trading options, and token alternatives.
Gupta told CoinTelegraph that there would be no connection between BitOasis and CoinDCX user accounts, adding that “BitOasis’ privacy policy and applicable laws and regulations will safeguard users’ personal data.”
He stressed that BitOasis will continue to operate independently under its existing licenses, “under the supervision of the relevant regulatory authorities.” This year, Gupta launched a $1 million fund to help investors transition from non-compliant platforms to CoinDCX.
This project addresses regulatory developments and concerns of Indian investors, who have spent $4 billion on offshore bitcoin exchanges. These users benefit from CoinDCX’s secure deposit methods and a 1% incentive for moving funds to the licensed exchange.
India faces cryptocurrency concerns
CoinDCX’s MENA growth coincides with cryptocurrency regulatory woes in India. TechCrunch reported that India is one of the nations less favorable to cryptocurrencies as the central bank pressures creditors to avoid cryptocurrency companies.
The country imposes a 30% tax on profits from digital assets. Due to strict regulations and a slowdown in the market, major Indian cryptocurrency companies are pursuing new development tactics. CoinDCX launched a decentralized exchange in 2022 and is expanding.
CoinSwitch Kuber, another major Indian cryptocurrency company and CoinDCX competitor, has expanded into stocks and mutual funds in the past year. B Capital, Coinbase, Pantera, and Steadview have funded CoinDCX in 2022, valuing it at $2.1 billion.
The recent suspension of Binance and more than half a dozen other foreign cryptocurrencies cryptocurrency exchanges for violating local anti-money laundering laws has benefited Indian exchanges. Many exchanges, including Binance, are working with Indian authorities to comply and will resume operations soon.
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