The largest Indian provider of cryptocurrency and wallet exchange ZebPay has commissioned the forensic blockchain company Chainalysis to monitor the transactions carried out on its platforms in India.
The measure includes an expansion of the partnership between Chainalysis and ZebPay Chainalysis, which already offers its Know Your Transactions (KYT) services for ZebPay operations in Singapore. “We wanted to build the industry’s best compliance program in India from the start.”ZebPay President Avinash Shekhar said.
Chainalysis provides real-time alerts that notify ZebPay of suspicious or risky transactions on its platforms.
ZebPay strengthens compliance in India
ZebPay expands the compliance framework for Indian operations approximately three months after the country’s Supreme Court lifted the long-standing ban on the Reserve Bank of India for financial institutions that provide banking services to cryptocurrency companies.
Chainalysis Chief Revenue Officer Jason Bonds praised ZebPay for strengthening its compliance and investigative capabilities in the face of the apparent crypto liberalization in Indiaand added that “steps still need to be taken to strengthen regulation of cryptocurrency in India.” Bonds summarized:
“We believe India is ready to make breakthroughs in the cryptocurrency industry and look forward to growing our business there. We look forward to working with ZebPay in such a historic time.”
The introduction of cryptocurrencies in India will increase in the coming years
A recent report by OKEx and Coinpaprika predicted that India’s share of cryptocurrency transactions will increase significantly over the next two years as locals seek access to a more efficient payment system.
The report states that a combination of increasingly relaxed regulations, high transfer fees, and significant barriers to access to currency markets will cause Indian citizens to buy crypto assets in the coming years.
Since the RBI ban was lifted, OKEx has seen Indian traffic increase by almost 550%, while registrations of new Indian users increased by more than 4,000% in the first quarter of 2020.