CoinDCX, an Indian cryptocurrency exchange, announced on Tuesday that it secured $3 million in a fresh funding round.
This was the Series A funding round for the exchange and was led by HDR Group, Polychain Capital, and Bain Capital Ventures. The exchange, however, did not disclose the names of other participants on the funding round.
This came after the Indian Supreme Court’s landmark decision, lifting the central bank’s restriction on the banking entities to offer services to digital asset businesses.
Notably, CoinDCX is one of the major Indian fiat-based exchanges and is facing fierce competition from WazirX, which was acquired by Binance last year. Both these exchanges circumvented the Reserve Bank of India’s (RBI) ban by introducing peer-to-peer trading services.
It also reinstated fiat deposits for centralized trading within hours of the judgment.
Lure users with more products
With the fresh funds, the Mumbai-based crypto exchange is planning to expand its products and also strengthening its team by hiring more staff. With a current workforce of 50 staff, the exchange is aiming to double its headcount within the next six months.
Sumit Gupta, co-founder and CEO of CoinDCX, revealed that the exchange has plans to build a new fiat onboarding solution, algorithm-based trading, and crypto-to-crypto trading. The exchange is also working to introduce new trading pairs, thus significantly expanding its offerings.
The investors are optimistic about the potential of the Indian market, given its sheer size.
Founded in 2018, CoinDCX survived the crypto winter in a tough market where many major players shuttered due to irregularities in regulations.
According to Gupta, the exchange is seeing a daily average trading volume of $10 million to $15 million after the banking ban, while its primary competition, WazirX sees $2 million to $3 million in daily trading volume.