One Exchanges Stands Out as Indian Crypto Trading Drops Following New Tax

cryptonews.com:

Crypto trading volumes on major Indian exchanges saw a notable decline on July 1 compared to the day before, after a new 1% tax on all crypto transactions was implemented in the country. However, one exchange still stood out as a winner, with trading volumes rising.

According to trading data from the major Indian crypto exchange WazirX, volume in the bitcoin (BTC)/Indian rupee (INR) market fell markedly on July 1, with the volume remaining depressed in the days since.

From BTC 97 traded on June 30, trading volume fell to just BTC 29 on July 1. Since then, trading volumes in the most important trading pair on the exchange have stayed between BTC 15 and BTC 24 per a 24-hour period.  

The same could also be seen on CoinDCX, where trading volume in the BTC/INR pair dropped from BTC 39.96 on June 30 to BTC 13.63 on July 1:

On Bitbns, on the other hand, no drop in trading volume could be observed. Instead, the volume here increased from BTC 50.57 on June 30 to BTC 71.67 on July 1, giving Bitbns the highest trading volume by far for BTC/INR among the three exchanges.

The changes in exchange trading volume happened as a 1% tax deducted at source (TDS) and a 30% income tax on all crypto profits in India went into effect. Notably, the 1% TDS applies to all crypto transactions, including transfers of non-fungible tokens (NFTs), crypto gaming tokens, and other cryptoassets.

In a blog post published last week, Bitbns pointed out that the new 1% TDS does not apply to perpetual futures contracts, which it said it plans to launch “very soon.”

Meanwhile, the reduced trading volume seen among many Indian exchanges suggests that these companies will bring in less money in the form of trading fees, as the widely followed Twitter account Crypto