Bitcoin in India Selling at a Premium as Local Exchanges Operate at Full Capacity

If you thought Bitcoin was expensive at $10,000, you’d be surprised to know there are people in India willing to pay up to $1,500 higher than market prices to get their hands on some BTC.

Speaking to EconomicTimes, the AVP Technology at Coinsecure, one of the Bitcoin exchanges in India, shared that they are experiencing a massive inflow of new traders and buyers:

“We are flooded with requests. In the past week alone, we have seen double the number of registrations. Signups are happening at full capacity.”

Bitcoin has managed to garner much media attention and fanfare with its meteoric rise this year. In January, it was priced at $1,000, and has grown tenfold since then, trading at around $10,000 right now after having reached a high of over $11,000 yesterday.

Even though there has been a lot of criticism around Bitcoin’s rise, especially calls of a ‘bubble’ ready to burst, it seems that investor confidence has been on an all-time-high, perhaps due to the expecting influx of institutional investment starting December.

Not only are people expecting CME futures to be launched next month, but we have also had reports of Nasdaq launching BTC futures and several other brokers also considering derivatives based on the leading cryptocurrency.

Commenting on the continually increasing Bitcoin trading volume, the co-founder of Zebpay, another Bitcoin exchange in India, said

“Every three months our (bitcoin trading) volumes have been doubling and that trend is continuing. The price movements have helped in the volume increase.”

While Bitcoin appears bullish in the long run, there are those who are advising against investing at these all-time-high prices. The EconomicTimes quoted a local investor saying:

“True and fair value of bitcoin should be around $1,000. My suggestion for speculators would be to stay away from bitcoin investment...”

The reason why local Bitcoin exchanges such as Coinsecure and Zebpay are doing so well in India is partly due to the rising demand for cryptocurrencies around the world, but also because people from countries in the region, like India, Pakistan and Bangladesh often face difficulties in opening and verifying accounts on international cryptocurrency exchanges. Additionally, they also face liquidity issues, as the process of selling crypto on these exchanges and then finding a fiat gateway is not without hurdles.

...

Source