Cryptocurrency is highly popular in India, and the number of crypto investors has grown over the last few years. At the moment, about 10 to 20 million residents own crypto. Unfortunately, India still has poor crypto regulations.
The central bank of India was inclined to ban crypto, but the lawmakers decided to impose a 30% tax and keep it in the financial system. However, some crypto exchanges have stopped Rupee deposits via United Payment Interface.
UPI Is a Preferred Payment Method in India
UPI is issued by a central bank and is a preferred payment method in this country. Unfortunately, users recently stated they couldn’t withdraw their funds via UPI. In addition, UPI deposits are currently disabled, although some platforms are working on making them operational again.
According to the National Payments Corporation of India, the operator behind the UPU, this organization did not know about the use of UPI in cryptocurrency-related payment transactions on the exchanges.
This led to the frustration of the investors, who complained on Twitter, stating that the exchange doesn’t accept the payment gateways of larger banks, including ICICI Bank and HDFC Bank.
Many exchanges have yet to respond to these events.