CoinDCX, has gotten $2.5 million for investment with the help of Coinbase Ventures and Polychain.
CoinDCX is the biggest cryptocurrency exchange in India. Coinbase Ventures and Polychain Capital are partnering with it.
This is not the first time other crypto companies are showing interest in CoinDCX. Two months ago, Bain Capital, Polychain and HDR Group which is an arm under BitMEX funded CoinDCX with $3 million.
On May 25, CoinDCX hinted that the money will be used to promote the “TryCrypto” campaign which is aimed at encouraging Indians to take part in cryptocurrency. The campaign is targeted at convincing 50 million people to start using cryptocurrencies. CoinDCX is poised to begin action with the total of $5.5 million and is optimistic that this will work.
Is the Indian Cryptocurrency market growing strong?
Two months ago, a two-year ban preventing banks in India from supporting crypto companies was lifted.
As soon as this happened, Coinbase came around to exploit the opportunity by rendering trading and conversion services to Indians.
Exchanges operating in India have since then been doing well despite the lock down caused by the corona virus pandemic. The number of people interested in the use of crypto increased by 1000% within the first week the ban was lifted. Consequently, the crypto market grew by 47% for the period between January and March. WazirX trading platform also did better by 80% in March and April.
Despite the upliftment of the ban, some banks are still not supportive. The reason is that there is no clear procedure from the government on how cryptocurrencies will be regulated. Banks are only being cautious in their refusal to help some crypto agencies.