Following a year of ups and downs, the Indian crypto market appears to be stabilizing and readying for an influx of new investors. The Asian country has marked a landmark, becoming home to the crypto industry’s first physical bank.
Improving Convenience and Security
Cryptocurrency online banking service Cashaa has opened the first physical crypto bank in collaboration with partners in India.
The milestone was possible through UNICAS, a joint venture between Cashaa and local financial institution United Multistate Credit Co-op Society.
The crypto bank was opened in Jaipur, the capital of India’s Rajasthan state. UNICAS had announced in October that it planned to provide seamless crypto banking services to customers.
Per the press release from Cashaa, the physical bank in Jaipur is part of an initial rollout that will cover 14 locations across three Indian states. These states are Rajasthan, Gujarat, and the National Capital Region (NCR) – before the end of January. UNICAS will also work towards establishing 100 branches by the end of 2022.
Dinesh Kukreja, UNICAS’s chief executive, explained that physical crypto banks would allow the firm to provide custom crypto investment products for Indian locals.
Customers with UNICAS savings accounts will be able to make seamless transactions and transfers in cryptocurrencies and rupees.
Cashaa’s CEO, Jumar Gaurav, described the development as a necessary one that will enhance the push for a “digital India.” He explained that UNICAS would also try to use this opportunity to show blockchain’s potential for improving security and convenience in financial operations. At the same time, they will also hope to strengthen crypto adoption across India.
All Eyes on the 1.3-Billion-Citizen Market
The new initiative is just the latest approach to bolster crypto adoption in India – a country that hitherto was somewhat hostile towards the crypto space. The Reserve Bank of India had banned cryptocurrencies from the country two years ago, essentially limiting banks’ ability to serve firms in the space. However, the Supreme Court ruled against the ban this March, setting the stage for companies to flood the industry once more.
Since then, companies have done their best to navigate the country, hoping to incite a massive crypto adoption spree among its estimated 1.3 billion citizens.
Earlier this month, local exchange CoinDCX announced the successful completion of its Series B funding round, where it raised $13.9 million from investors like Coinbase and Polychain. The round adds to CoinDCX’s first funding venture, where it raised $3 million in March.
As the exchange pointed out, it plans to use the funds to improve crypto adoption in India. The company already launched a public beta for CoinDCX Go, an investment app for investors of all backgrounds. The app is part of CoinDCX’s “Try Crypto” initiative, which the exchange hopes to help spread crypto adoption to about 50 million citizens.