With WazirX in Limbo, What is India’s Next Top Crypto Exchange?

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As a long-term crypto investor, I have seen my fair share of market volatility and exchange issues. The recent hack at WazirX, India’s largest crypto exchange, has left me feeling anxious about the safety of my investments. With half of the investors’ funds lost in the breach, it is understandable that many are looking for alternative exchanges to trust.

After a major cyberattack, WazirX, India’s leading cryptocurrency exchange, is encountering challenges as concerned investors question the safety of their assets during this uncertain time.

Thursdays saw a security incident at WazirX, resulting in a significant breach of their multi-signature wallet. This unfortunate event cost the company approximately $235 million, representing nearly half of the funds invested by their clientele.

Currently, WazirX has stopped all withdrawals on their platform and have filed a report with Indian law enforcement. Additionally, according to WazirX’s rules, their over 1.5 million users are unable to initiate any legal proceedings to recover their funds for a minimum of two months.

As a crypto investor in India, I’m constantly on the lookout for reliable and trustworthy exchanges to conduct my transactions. With the market being so unpredictable, there’s an increasing demand for exchanges that can establish themselves as leaders in our region. I’m keeping a close eye on emerging platforms that have the potential to take the top spot in India.

Based on existing market data and public perception, it appears that there are three main contenders poised to make a significant impact on the Indian cryptocurrency scene in the coming months.

CoinDCX

CoinDCX and WazirX are two trailblazing crypto exchanges that entered the Indian market early on. Being among the first in the industry gives CoinDCX an edge, with a substantial user base of over 1.5 million people. With WazirX currently facing challenges, CoinDCX has the opportunity to strengthen its position by leveraging this situation.

CoinDCX adheres to four fundamental security practices: safeguarding our systems against potential risks, thwarting any misuse from within, reducing chances of human mistakes, and unequivocally rejecting deceitful handling of data.

The founders of CoinDCX assert that they keep 95% of customer funds in secure cold wallets spread across various locations and protected by elite hardware security modules (HSMs). The remaining 5% of assets are kept in hot wallets, which are insured through BitGo. Furthermore, personal accounts benefit from the added security measures of two-factor authentication and confirmation requests for withdrawals. CoinDCX boasts a more extensive selection of cryptocurrencies and sophisticated trading functionalities. According to CoinGecko, the daily trading volume for CoinDCX reached $2,399,088 during the publication of this report.

CoinDCX founders are Sumir Gupta and Neeraj Khandelwal.

Bitbns

Boasting a userbase exceeding 4 million in India, Bitbns provides sophisticated functionalities and an extensive selection of cryptocurrency pairings. Features include bracket orders with adjustable stop limits, round-the-clock customer service, among others.

As a dedicated researcher focused on ensuring user safety, I would highlight that Bitbns employs cutting-edge technology infrastructure and top-tier security measures, such as a bug bounty program. Additionally, it’s a mandatory requirement for all accounts to enable Two-Factor Authentication (2FA), and the platform offers an extra layer of protection through Google authentication.

Having processed trades worth $1,458,943 in the past 24 hours, Bitbns offers its users the opportunity to trade in 134 different coins. Additionally, there are 155 available trading pairs for users to choose from. Depending on their VIP status, traders on Bitbns pay fees ranging from a low of 0.03% to a high of 0.25% when transacting with BNS.

The founders of Bitbns are Gaurav Dahake, Prashant Singh and Srikanth Sethumadhavan. 

MudreX

MudreX is a fast-growing cryptocurrency exchange based in India, gaining popularity among individual investors. Established in 2018, MudreX has amassed a substantial following of over 2 million users globally, with approximately 70% residing in India.

MudreX has implemented robust security features to safeguard its users from potential breaches. These include the use of Two-Factor Authentication (2FA) and Google authentication. Additionally, MudreX has formed alliances with Binance Institutional Custody. This relationship grants MudreX access to a $100 million insurance fund dedicated for Binance Institutional clients, as well as a $1 billion Secure Asset Fund for Users (SAFU) insurance fund.

As a researcher studying the cryptocurrency exchange landscape, I can share that Mudrex, similar to other exchanges like WazirX, has a policy in place to refund users’ funds if they are lost due to security vulnerabilities within the exchange. Currently, the market capitalization of Mudrex stands at approximately $57 million with a daily trading volume of around $3.4 million.

The founder and CEO of Mudrex is Edul Patel.

Conclusion

With WazirX encountering some difficulties, India’s crypto market leadership is up for grabs, as several strong competitors vie for the top spot. The three exchanges mentioned in the article are undeniably superior, but fresh contenders are also making their way into the Indian market. Moreover, international heavyweights like Binance are reportedly considering a return to India, with negotiations ongoing.

When considering crypto exchanges, the occurrence with WazirX acts as a cautionary tale. It’s crucial for investors to thoroughly investigate an exchange’s strong security measures before making a decision.

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2024-07-20 10:45