India gets its first cryptocurrency ATM amidst the central bank’s crackdown

India’s first cryptocurrency ATM has launched on October 14 in Bengaluru’s Kemp Fort Mall by the virtual currency exchange Unocoin. This ATM is for the Unocoin customers and used to withdraw or deposit money. That money will be used to buy cryptocurrencies from Unocoin’s mobile app or
website.

The virtual currency ATMs comes among a state of conflict in the country’s involving legal battles, cryptocurrency ecosystem, tighter regulations, and low volumes. For Unocoin, this is a way to avoid the Reserve Bank of India’s crackdown. These cryptocurrency ATMs do not violate any RBI norms.

According to the reports, CEO of Unocoin, Sathvik Vishwanath told that the Reserve bank of India has executed a ban on banks, about money-related transactions, so that users cannot buy easily, or unable to withdraw their money.

Unocoin believes that these ATMs can play the role that was earlier being taken care of by banks. When a customer visits this ATM, he has to validate his user ID then he will receive an OTP in his mobile number. The users have to use Unocoin’s mobile app or website to purchase cryptocurrencies. A user can deposit or withdraw amounts between Rs 1K and Rs10K.

These ATM’s are a little bit different from virtual-currency ATMs present globally. According to reports, around 3,879 cryptocurrency ATMs are operating in 76 countries.

In India, Unocoin is targeting higher footfalls locations and malls to set up more ATMs. Now Unocoin has nearly 1.3 million users, and in November 2017 it had added around one-sixth of its customer base.

Meanwhile, the cryptocurrency exchanges and the central bank are engaged in a legal battle since September 2018 in the country’s top court. At the same time a committee appointed by the government is chalking out draft regulations on virtual currencies.

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