CoinDCX Restricts Crypto Deposits And Withdrawals | Know Why Here

Cryptocurrency News: The move is going to affect the users who have not completed their KYC on the platform. On CoinDCX, deposits and withdrawals remain closed by default.

Cryptocurrency News | New Delhi: CoinDCX, an Indian crypto exchange, has reportedly restricted deposits and withdrawals for various users. According to a report by Mint, the exchange made the announcement through a blog post. It is being said that the company took the step to ensure better compliance.

The post read, “This was done in a series of steps, including improving KYC coverage, enhancing the risk framework for crypto deposit & withdrawal, and integrating with compliance and monitoring tools like Coinfirm, Solidus Labs, Signzy, Digilocker, etc., over the last six months. Over the past month, we have been gradually restricting crypto deposits & withdrawals for multiple users.”

Will it impact the investors?

The move is going to affect the users who have not completed their KYC on the platform. On CoinDCX, deposits and withdrawals remain closed by default. Only after successful KYC, is the user able to withdraw the money.

In order to ensure due diligence, CoinDCX is going to release a new policy in the next 14 days. The blog further said, “For crypto deposits, all old addresses across wallets are still active and continue to receive funds. We are in the process of disabling the same. INR deposits & withdrawals continue to function as normal. Users can deposit or withdraw funds through the INR route as usual.”

In a recent tweet, Ramalingam S, CoinDCX’s head of marketing stated, “while some wallets are under maintenance there is a larger compliance requirement due to evolving regulatory needs resulting in increased scrutiny. The new process is being rolled out in phases, and it will reach all users in due course.”