OKX, a major player among cryptocurrency exchanges based on trading volume, is discontinuing its services in India due to regulatory obstacles. The exchange, headquartered in Seychelles, has advised its Indian users to close their accounts and withdraw funds by April 30.
In a recent email to its customers, OKX stated that only fund withdrawals will be allowed, with all other services being unavailable.
This decision follows the issuance of a show cause notice by the Financial Intelligence Unit India (FIU IND) to nine crypto exchanges, which included Binance, Kucoin, Huobi, Kraken, Gate.io, and Bittrex, among others. Notably, OKX was not mentioned in the notice.
Meanwhile, OKX is expanding its operations in other regions by obtaining licenses in Singapore and Dubai, and initiating trading with Turkey’s local currency.
Despite the recent surge in Bitcoin prices, cryptocurrency exchanges are encountering challenges in the Indian market. Binance is dealing with a partial ban, while global exchanges like Coinbase, Koinex, and Indian-origin platforms like Pillow and Flint have already ceased operations in the country.
India’s leading crypto unicorns, such as CoinDCX and CoinSwitch, have also faced difficulties in the past year, including layoffs and cost-cutting measures. Both companies experienced a notable decline in operating revenue during FY23.
