WazirX CEO and founder, Nischal Shetty, applauded India’s Crypto community for continuing to grow and innovate through peer-to-peer transactions despite crypto-related banking restrictions in the nation.
Sharing a video from Crypto Kanoon (@cryptokanoon), a platform that provided live coverage of the RBI vs. Crypto Supreme Court hearings, Shetty added that WazirX has the highest peer-to-peer liquidity in India.
P2P is an innovation and we’re glad that @WazirXIndia has proven Indians can innovate in Crypto despite banking restrictions 🚀
— Nischal (WazirX) ⚡️ (@NischalShetty) January 30, 2020
The continued operation of P2P exchanges was highlighted during the RBI vs. IAMAI trial. Supreme Court justices hearing the case pointed out that people could still trade crypto in the country, and banks had no indisputable mechanism for determining which transactions were made for the purpose of crypto trading without conducting a thorough investigation.
The counsel for RBI, Mr. Shyam Dewan, acknowledged that while RBI discouraged any crypto-related trades, it had no real way of identifying transactions conducted for peer-to-peer crypto trades. He added that although RBI’s directive was vague, banks were expected to use their judgment and resourcefulness to determine and prevent such trades.
Notably, the Hon’ble Justice Rohinton Fali Nariman argued that RBI’s directive had failed to stop crypto activity in the country, with P2P services allowing users to transfer funds freely across borders while causing crypto exchange businesses to suffer.
The WazirX platform offers a P2P service that allows users to convert their money to crypto (and vice versa) safely and instantly at no transaction fees.
A directive issued by the RBI in April 2018 prohibits India’s banking institutions from dealing with cryptocurrencies, thereby restricting consumers from crypto to INR exchanges. In the face of these limitations, WazirX lets users exchange INR for USDT, which can then be used to purchase other VCs. During the process, the platform acts as an escrow for the safekeeping of transactions.