Since the past few days, the Indian crypto traders have been annoyed with WazirX, India’s largest cryptocurrency exchange, as they are not able to place their bets on the exchange.
The traders took it to social media and expressed their anger. They told the exchange that they were unable to transfer money to the bourse. WazirX, while blaming their banking partners, stated that the delay in fund transferring happened because of the network issue at the bank’s end. The exchange has now promised its customers that it will soon transfer their debited funds back to their accounts.
On May 08, the CEO of Tesla, Elon Musk, made his appearance on ‘Saturday Night Live’ (SNL), a sketchy US comedy show. Many Indian traders were excited about the show, as they believed that Musk will discuss something important regarding Dogecoin. “But, in a way, it was a blessing in disguise. Traders everywhere had felt that Musk would talk up Dogecoin (one of the hottest crypto-currencies). In hindsight, a number of them were shielded from a dramatic dip in the value of Dogecoin after Musk called Dogecoin a ‘hustle’,” says Anirudh Gotety, a Mumbai-based commercial lawyer.
After Musk’s appearance on SNL, the value of Dogecoin fall 28 percent in the market and those traders whose payments were blocked, at that time on WazirX, were saved. However, on the weekend the meme coin experienced a bit of a surge but some of the traders’ payment was hindered, therefore, they did not earn the profit too. This latest development shows that there has been some issue between the crypto sector and the banks of India.
One of the investors at WazirX shared a screenshot on social media platform notifying that the exchange is blaming ‘Paytm Payments Bank deposits’ for the payment delay. But later that day, the exchange removed the bank references from the message and stated that its banking partner’s IMPS (immediate payment service) network is having some issue, therefore, the customers are not able to transfer their funds.
A few weeks ago, ICICI Bank banned the crypto trading payment through its network. The traders then used the Paytm Payment Bank network to process their transactions. But recently, the traders again faced some issues.
Paytm Payments Bank strongly denied any technical glitch from its side. Its spokesperson recently said, “Our in-house technology infrastructure is among the best in the world and is one of the key reasons for the trusted and long-lasting relationship that we have with our partners. We would like to confirm that our systems are running smoothly and there is no issue with any of the transactions. All our users, clients and merchant partners continue to experience seamless and efficient payment settlements.”
The Paytm Payments Bank was later asked that like ICICI, whether it is also planning to ban the crypto trading transaction. The Paytm official did not comment on it.