ZebPay, the Indian crypto exchange which had to shift its operational base to Malta amid regulatory uncertainty and RBI’s banking ban is returning to India in the coming months. The exchange sent out an email to its Indian customers stating that they are planning a homecoming in 2020 with a new business model and all-new team in the coming months. The mail read,
“Dear ZebPay members, The past couple years have been challenging for all of us who believe in blockchain and crypto, but here at ZebPay, we’ve continued to innovate and prepare for the day when we can resume full operations. We’re confident it will come soon. And we’ll be ready.”
The email also informed the users that ZebPay 2.0 will launch in India with an all-new crypto-to-crypto trading platform where users can trade crypto pairs such as BTC-ETH, stablecoins with instant buy and sell option. The firm promised to offer trading fee wavier on different crypto pairs each month starting with BTC-ETH for a limited period of time.
ZebPay 2.0 will come with a lot of additional services to promote crypto use and adoption, one such program as stated in the email is “Passive income and borrowing,” which would allow the traders to earn passive income on their crypto holding and also borrow cryptocurrencies based on these holdings.
The Abrupt Shift of Operation
ZebPay announced on September 28th, 2018 that it would no longer cater to the Indian customers citing the banking ban imposed by the Reserve Bank of India (RBI) back in April. The RBI’s banking ban ran havoc on the Indian crypto community forcing a number of exchanges and crypto service providers to either completely shut their operation or shift their bases to some other country.
However, RBI’s banking ban was challenged by the Internet and Mobile Association of India (IAMAI) in the supreme court whose hearing recently came to an end. The verdict in the case is expected to come in next 2-3 weeks, but those who followed the court proceedings are confident of a favourable verdict given the argument presented by the IAMAI counsel against RBI’s circular. RBI also admitted that crypto-to-crypto trade-in India is not prohibited in an RTI response.
Apart from the supreme court case, The Indian National Institute for Smart Government (NISG) has published a draft “National Strategy on Blockchain,” which has strongly recommended the government to look for regulating the emerging technology and also work on a central bank-issued digital currency CBDC. These recent positive developments could be among the key factors that might have inspired ZebPay to make a comeback in the Indian market.