We value your privacy

We use cookies to enhance your browsing experience, serve personalized ads or content, and analyze our traffic. By clicking "Accept All", you consent to our use of cookies.

Customize Consent Preferences

We use cookies to help you navigate efficiently and perform certain functions. You will find detailed information about all cookies under each consent category below.

The cookies that are categorized as "Necessary" are stored on your browser as they are essential for enabling the basic functionalities of the site. ... 

Always Active

Necessary cookies are required to enable the basic features of this site, such as providing secure log-in or adjusting your consent preferences. These cookies do not store any personally identifiable data.

No cookies to display.

Functional cookies help perform certain functionalities like sharing the content of the website on social media platforms, collecting feedback, and other third-party features.

No cookies to display.

Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics such as the number of visitors, bounce rate, traffic source, etc.

No cookies to display.

Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.

No cookies to display.

Advertisement cookies are used to provide visitors with customized advertisements based on the pages you visited previously and to analyze the effectiveness of the ad campaigns.

No cookies to display.

Powered by Cookieyes logo

Will FTX’s Downfall Urge India to Accelerate Crypto Regulation?1-min read

Shivali Krishali

Shivali Krishali |  Updated on 01/12/2022

The FTX crash has resulted in a colossal drop in the value of cryptocurrencies, with the overall crypto market cap falling 20% in a week to $824 billion from $1.02 trillion. In general, 2022 has been a rough year for crypto investors with the fierce falling price of Bitcoin along with the crash of luna.

CEO of BuyUcoin, Shivam Thakral mentioned,

“The FTT crash has had a global impact on crypto prices and volumes. Indian exchanges have seen a similar impact on retail user sentiments. Traders are expecting the FTX fallout to create a bottom for the prices and global regulations will be the way to move forward.”

FTX’s fall has led investors to worry to the degree that cryptocurrency exchanges like CoinDCX and CoinSwitch Kuber had to convince traders and investors about reserves and the situation.

FTX

Source: The New York Post

Countries worldwide are still figuring out how to regulate cryptocurrencies. The US Securities and Exchange Commission (SEC) is looking for possible breaches of securities rules, and the Bahamas has frozen some of FTX assets and will start a criminal inquiry. Even Turkey, which has been considered an evolving crypto market, has announced an investigation into the collapse. India is yet to announce its final decision.

The Reserve Bank of India (RBI) has issued a series of notifications since 2017, making people aware that cryptocurrencies are not legal tender and warning them about the risky nature of crypto investments.

Raj Karkara, COO of ZebPay crypto exchange, said,

“The collapse of FTX and its native token, FTT, has been a shock for the entire crypto community. I am deeply sorry for those impacted by the subsequent fallout. We have seen significant industry players falter recently, and incidents like these reinforce the need for government regulation. It will ensure that all industry players follow a mandated code of conduct that safeguards investor interests. I will also urge investors to do due diligence to select the right investment partners.”

Looking at the current situation India needs to issue regulatory measures regarding the crypto industry to ensure consumer protection and transparency for investors interested in new crypto coins.