Bithumb Global, the global extension of South Korean cryptocurrency exchange Bithumb, has announced its intentions to open a cryptocurrency exchange in India. It plans to offer crypto-trading services to Indian cryptocurrency users, especially Bitcoin users.
As a part of their bigger plans, Bithumb is not only planning to launch a cryptocurrency exchange but also an entire crypto hub, collaborating with startups and other companies in the space.
The South Korean company’s move comes at a time when cryptocurrency supporters in India, including crypto exchanges, are fighting a legal battle in the country’s apex court, against a blanket ban enforced by the country’s central bank, the Reserve Bank of India (RBI). The ban prohibits Indian financial institutions from providing services to cryptocurrency exchanges or crypto-related businesses.
Back in April 2018, the RBI banned Indian financial institutions from providing services to cryptocurrency exchanges or crypto-related businesses in the country, which led to the shuttering of several India-based exchanges. Zebpay left India in September 2018, Coinome suspended operations in May this year, Koinex stopped trading in June 2019, and Cryptokart finally called it quits in July 2019.
According to Bithumb, it wants to work in tandem with local exchanges by converting them into partners and giving them a sound liquidity base to grow. The firm is planning to expand its services to India by partnering with local crypto exchanges, funding local blockchain startups, and working on new industry initiatives.
“We are open to talking to regulators,” Javier Sim, co-founder and managing director at Bithumb Global, said. He revealed that the company is willing to engage in discussions with Indian regulators to build a new regulated exchange.
Sim reportedly said, “We are open to talking to regulators, working with them to be a regulated exchange. We are a strong brand from Korea and do not involve ourselves in unregulated or illegal trade.”
Bithumb Korea was founded in 2014 and is one of the earliest crypto exchanges in South Korea. Bithumb Global’s beta launch took place in May 2019. The company officially announced its “next-generation” digital asset exchange on October 1, claiming that Bithumb facilitates over 59% of the entire South Korean Bitcoin transaction volume. According to Sim, Bithumb Global has on-boarded more than one million global users since launching the platform, while its daily trading volume has exceeded over $381 million.