Coinbase Stops Their Services in India Starting September 25, Here's Why!

Coinbase stops its crypto services in India. (Photo; Doc. Invezz)

JAKARTA - Coinbase, one of the world's leading crypto exchanges, has just announced its controversial decision to stop trading services for Indian users, which will take effect on September 25.

According to a report from TechCrunch, the company notified Indian customers via email, advising them to immediately withdraw all funds from their accounts. Additionally, Coinbase has also stopped signing up new users located in India.

This decision comes after 18 months of struggle for Coinbase to establish its presence in the Indian market. However, these efforts did not bear fruit as local authorities failed to give their approval, and this even led to the departure of several key executives, including Durgesh Kaushik, who joined as Senior Director for Market Expansion last year.

Previously, Coinbase tried to launch its service in India by supporting Unified Payments Interface (UPI), a popular local payment method. However, the UPI regulatory body refused to acknowledge this launch, resulting in the suspension of UPI support by Coinbase.

At the same time, Coinbase remains focused on its global expansion. They recently announced plans to enter the crypto lending business for institutional clients in the United States.

The decision to withdraw from the Indian market comes amid strict cryptocurrency regulations in the country. The Indian government has taken a cautious approach towards cryptocurrencies, and this underscores the importance of international cooperation in regulating these digital assets.

The latest declaration from the G20 Leaders also supports the regulation and supervision of crypto assets as well as global arrangements for stablecoins, indicating increasing global attention to cryptocurrency regulation.