Koinex, a prominent Indian crypto exchange, has launched its peer-to-peer (P2P) service called Loop. Loop is a P2P trading platform for crypto assets transactions using fiat currency (INR).
Koinex Loop – An Attempt to Preserve the Crypto Industry in India
This step follows the move by another Indian exchange, WazirX, who started their P2P operations earlier.
As a reminder, the two Indian exchanges chose to begin P2P trading in an attempt to keep the crypto industry alive after the Reserve Bank of India issued on July 6 a directive forbidding banks to deal with crypto exchanges and the Supreme Court of India refused the exchanges a temporary stay in the case.
Koinex praises Loop as featuring speedy dispute settlement through technology-enabled reparation system “for the quick, trustful and biased verdict,” adding:
“Combining the principles of decentralization, trust, security, data privacy and ease-of-use, Loop will complete the full circle for digital assets trading in India.”
One Redditor compared WazirX’s and Koinex’s P2P platforms, complaining that WazirX only lets people buy and sell tether (USDT) using Indian rupee (INR) and that prices the exchange fixes the price. Koinex, on the other hand, allows the buying and selling of BTC/ETH/XRP using INR.
(Source: Koinex Loop)
The company has fully integrated Koinex wallet with Loop, forming a closed ecosystem. People can buy and sell cryptocurrencies using INR on a peer-driven network with direct transactions between two users and without any banking interface with the exchange. The users will be able to see the same effective balance on Koinex which will allow them to trade in Crypto/Crypto corridors on the exchange. They also won’t be having any internal order matching.
“If you are a new entrant to the crypto ecosystem, you can purchase a crypto asset directly by transferring INR to a seller. That is your first entry point. Similarly, you can exit by selling it in exchange for INR,” said Rahul Raj, the co-founder, and CEO at Koinex.
This wasn’t the case before when a buyer would transfer money to an exchange and then buy crypto.
Loop only allows KYC verified users and there are no network and transaction fees.
According to the creators of Koinex Loop:
“Absence of progressive regulations or presence of regressive regulations allow bad actors to infiltrate a legitimate industry. Loop also ensures that honest investors and traders don’t fall prey to such scammers or bad actors in an impulsive and imprudent attempt at safeguarding their investments.”
Koinex’s Mission: Turn India into Blockchain Development Hub
Koinex’s mission is “to turn India into a hotbed of blockchain technology development,” according to the people behind the exchange.
Koinex is the first crypto exchange in India to introduce trading with ethereum (ETH), litecoin (LTC), ripple (XPR), and bitcoin cash (BCH).
It provides Indian investors with a possibility to participate in the best blockchain projects worldwide. The exchange also takes part in discussions with government agencies about crypto-friendly regulations.
Koinex hosts blockchain events and raises awareness in an aim to protect investors’ interests.