WeTrade is an Indian crypto startup based in Bangalore India. This is not the first Indian exchange that has had to close its operation so certainly, this is not news but something that is not good. Although I have never used this exchange for any trading but I heard a lot of good about it. It was offering a bunch of options to invest in crypto along with trading services. In terms of innovation, it was allowing a lot of options to choose from and this has given this platform more attention to the traders.
web link- https://www.wetrade.app
Currently, we are in Crypto winter which means the market is not doing good but in India, things are even was because of regulations and an unfavorable environment. It is very difficult to operate in the situation of these crypto exchanges. I remember there was one exchange called Koinex and it was closed in 2019 due to cryptocurrency bear market and banking restrictions. I started my trading with this exchange only so I know that how good it was my still I miss that exchange. I am sure that a lot of people are going to miss this one also as they have stopped their operations and returning the funds to the user's account as soon as possible.
Exchanges are struggling
We know that the market is not really good but apart from this the current tax structure and other banking services are also not good enough for the exchanges to operate well. They are struggling with withdrawals and deposits because the banks are not ready to provide banking services to them. The government has not done any changes in the tax slab this year and even if they are not interested it seems to look into the matter and intervene.
Banks are not supportive
Earlier I used to think that these exchanges are not providing instant withdrawal services intentionally but that is not true. Recently I got to know that no Bank in the country is ready to provide banking services to Crypto exchanges. Some of the exchanges are able to provide only deposit services on the condition that they will not be processing Fiat withdrawals. Very few banks are providing services on this condition and to be honest, this is not something that is good for the growth of cryptocurrency in the country.
We trade has also gone to a similar situation and now they have finally decided to stop their operations. This exchange was started last year in 2022 and at that time situation was not so bad but because of the ongoing tax restrictions things are not going well.
WeTrade started in 2022 with a vision to make trading in cryptocurrency easy and rewarding. However, with the crypto winter deepening and the ambience turning increasingly hostile, we have decided to pause our services,” the startup announced in a LinkedIn post recently
This happens in the market as these start-ups are not well funded to run operations when the makret is in bearish sentiments. Some other exchnages are somehow managing to run the operation with the hope that government will do something positive and then they can grow. Let's see how things are unfolded later and hopefully, no other exchnage has to deal with this type of situation again.
Thank you