Only three days following the entrance of Coinbase (a name-making crypto exchange from the United States) in the market of India, it terminated utilizing the UPI (United Payments Interface) – the most famous payment service across the area. Brian Armstrong, the CEO of the exchange, later disclosed that the reason at the back of the disruption of the service was an indirect push by the central bank of the country.
During the 2022 Quarterly Earnings request of Coinbase, Armstrong discussed the strategy of the firm for expansion throughout the globe while admitting the part played by Coinbase in commencing the discussion with watchdogs concerning crypto adoption. On being inquired regarding the influence of the latest disruption that deals with the provision of payment services within the country, Armstrong mentioned that some days following the launch, they concluded to disable UPI due to the respective pressure from the RBI (Reserve Bank of India), which counts known as an equivalent to the Treasury.
Though pointing toward the ruling of the Supreme Court from 2020’s March, which prohibits the RBI from restricting the banking institutions to perform the dealings linked to crypto business, a warning was pronounced by Armstrong regarding particular government-based bodies, taking into account the RBI, who do not appear to have a positive stance on the respective matter.
The CEO brought to the front that the exchange has a forceful plan for expansion throughout the world so much so that the launch of services in some new jurisdictions, as well as an enhancement in its cooperation with the watchdogs based on their responses regarding the presence of Coinbase in the area, would be included.
While focusing on the attempt made by India to implement a shadow prohibition over businesses of cryptocurrency, he added that they are utilizing slight pressure at the backdrop to attempt to stop some of the respective payments for which there might be a requirement to move through UPI. In his words, they consider this to be somehow linked to the infringement of the ruling issued by the Supreme Court.
Notwithstanding the present regulatory hindrances, Coinbase is getting ready to do a relaunch across the region with the release of some other payment modes as it attempts to accommodate the mounting requirements of the investors. Armstrong concluded his point by saying that they intend to take some adequate actions in this respect as crypto would end up becoming legalized and regulated.
James Thompson