Cryptocurrency exchange OKX plans to enter the Indian market and hire local employees in order to expand the capabilities of Web3 applications. While cryptocurrency trading is legal in India, there is no regulatory framework in place yet, and the government imposes a 30% tax on crypto assets. OKX aims to develop Web3 in India and be at the forefront when regulations are established.
OKX to Enter the Indian Market
Haider Rafique, the marketing manager of OKX, stated that the company plans to “significantly” expand its wallet services by entering India’s developer community. Rafique mentioned that there are currently 200,000 OKX wallet users in India, which accounts for only 5% of Web3 users in the country.
“We will learn about the community, work with the local people, and find where we can add value.”
According to the latest data from CoinMarketCap, OKX is the sixth largest cryptocurrency exchange in terms of volume. It does not have a global headquarters, but operates from regional centers in Singapore, Dubai, Hong Kong, and the Bahamas. Rafique stated that the company does not plan to open an office in India, but will rely on local employees to manage its operations in the country.
No Legal Regulation in India Yet
OKX recently partnered with blockchain platform Neo for an APAC Hackathon in the southern Indian city of Bengaluru. Rafique described this move as a test to validate assumptions, understand Indian culture, and support the local Web3 ecosystem. While cryptocurrency trading is legal in India, there is currently no regulation established by a central authority, and crypto assets are bought, sold, and used at the investor’s risk. Although crypto assets are not banned, they do not have any legal status as a means of payment. The government currently imposes a 30% tax on crypto assets.
On July 27, the High Court of India criticized the Union government for the lack of crypto regulations. It compelled the government to disclose whether it has any plans for future regulations of digital currencies due to the increase in crime activities involving crypto assets. Rafique believes that regulators in India are starting to separate Web3 from centralized finance (CeFi).
“They are more interested in places with fiat ramps, which we also do, but we don’t offer it in India. When India establishes a regulatory framework for crypto, then we want to be the frontrunners.”
While OKX plans to hire on-site personnel in India, Indian cryptocurrency exchanges CoinSwitch and CoinDCX have recently had to lay off employees due to the current market downturn.
