Log in
E-mail
Password
Show password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Settings
Settings
Dynamic quotes 
OFFON
  1. Homepage
  2. Equities
  3. India
  4. Bombay Stock Exchange
  5. Bank of India Limited
  6. News
  7. Summary
    532149   INE084A01016

BANK OF INDIA LIMITED

(532149)
  Report
SummaryChartsNewsRatingsCalendarCompanyFinancialsConsensusRevisions 
SummaryMost relevantAll NewsAnalyst Reco.Other languagesPress ReleasesOfficial PublicationsSector newsMarketScreener Strategies

Indian crypto exchanges flounder as banks cut ties after RBI frown

07/01/2021 | 03:43am EDT
FILE PHOTO: Illustration picture of cryptocurrencies

MUMBAI (Reuters) - Indian cryptocurrency exchanges are scrambling to secure viable, permanent payment solutions to ensure seamless transactions after banks and payment gateways started cutting ties with them, six industry insiders said.

The exchanges are struggling to cope after the central bank, the Reserve Bank of India (RBI), which has said it does not favour digital currencies, out of concern over their impact on financial stability, informally asked banks to steer clear.

Customer complaints have inundated all India's key exchanges as the pullout by major payment gateways has hit transactions, according to social media and users.

"Banks are reluctant to do business," said Avinash Shekhar, a co-chief executive of ZebPay, one of India's oldest crypto exchanges that is not offering immediate settlement.

"We have been talking to several payment partners but the progress has been slow."

Options being resorted to include tying up with smaller payment gateways, building their own payment processors, holding back on immediate settlements or offering only peer-to-peer transactions, the heads of five crypto exchanges said.

At least two exchanges have tied up with smaller payment processing firm, Airpay, as its larger peers have cut ties.

There is no official data, but India has nearly 15 million crypto investors, who hold more than 100 billion rupees ($1.34 billion), according to industry estimates.

THE ALTERNATIVE

Some crypto exchanges, such as WazirX, are forced to stick only to peer-to-peer transactions on certain days, while others, such as Vauld, allow bank transfers with manual settlement as they hunt for a payment processor, backing up settlements.

Even major payment gateways, such as Razorpay, PayU and BillDesk have severed ties, as they too are dependent on banks to process transactions and the pullout by large banks has left them reeling.

The three payment processors did not respond to a request for comment.

Some others, such as Coinswitch and WazirX, have signed up with a smaller Mumbai-payment processor, Airpay, for instant transfers.

The payment gateway is backed by venture capital fund Kalaari Capital and billionaire stock investor, Rakesh Jhunjhunwala, who has been vociferous in his opposition to cryptocurrencies.

Jhunjhunwala did not immediately reply to an email seeking comment.

Smaller payment gateways have not proved very successful in executing high volumes of transactions, leading to failures that have resulted in a flood of user complaints.

The lack of support from banks means that smaller firms, like larger counterparts, are also backing off from crypto activities.

"Partnership with the smaller payment processors has not emerged as stable yet, and is more of a temporary solution," said the founder of an Indian crypto exchange, who spoke on condition of anonymity.

Others, such as Bitbns, have built their own basic payment processor, allowing some essential transactions since the systems does not require prior approval from the Reserve Bank of India, the central bank.

"These are only stop-gap arrangements and not a solution to the problem the industry is facing," said Gaurav Dahake, chief executive of domestic exchange Bitbns.

Prohibition has not augured well, as it has forced customers to opt for peer-to-peer (P2P) transactions that allow buyers and sellers to engage directly.

"Predictably, alternate transaction methods such as P2P have increased, which makes the market more inefficient and also exposes customers to the risk of fraud," said the chief executive of another crypto exchange.

($1=74.3650 Indian rupees)

(Reporting by Nupur Anand; Editing by Clarence Fernandez)


© Reuters 2021
All news about BANK OF INDIA LIMITED
09/17Nomura Notes India's Central Bank New "Inflation Glide Path"
MT
09/17UJJIVAN SMALL FINANCE BANK : Indian Central Bank Approves Special Committee to O..
MT
09/16India inflation path shifting down more favourably than hoped- RBI bulletin
RE
09/16Indian Indices Settle Higher on Thursday; Vodafone Idea Soars 27%
MT
09/16Inflation in India likely to ease only gradually, RBI deputy says
RE
09/15Commerzbank Says India's Central Bank Is Undeterred by Elevated Wholesale Pri..
MT
09/15Singapore, India in Talks to Connect Payment Systems for Cross-Border Transfe..
MT
09/15SENSEX 30 : India's Wholesale Inflation Gains Speed in August on Higher Mineral ..
MT
09/13Banks call on government to ease pressure on India's Vodafone Idea
RE
09/13UBS Sees India's CPI Inflation to Remain Lower Than The Central Bank's Foreca..
MT
More news
Analyst Recommendations on BANK OF INDIA LIMITED
More recommendations
Financials
Sales 2022 219 B 2 978 M 2 978 M
Net income 2022 35 331 M 479 M 479 M
Net Debt 2022 - - -
P/E ratio 2022 5,89x
Yield 2022 2,17%
Capitalization 239 B 3 239 M 3 238 M
Capi. / Sales 2022 1,09x
Capi. / Sales 2023 0,99x
Nbr of Employees 50 612
Free-Float 18,6%
Chart BANK OF INDIA LIMITED
Duration : Period :
Bank of India Limited Technical Analysis Chart | 532149 | INE084A01016 | MarketScreener
Technical analysis trends BANK OF INDIA LIMITED
Short TermMid-TermLong Term
TrendsBearishBearishNeutral
Income Statement Evolution
Consensus
Mean consensus -
Number of Analysts 0
Last Close Price 58,15 
Average target price
Spread / Average Target -
EPS Revisions
Managers and Directors
Atanu Kumar Das Chief Executive Director, MD & Executive Director
Shankar Sen Chief Financial Officer
Rajesh V. Upadhya Secretary & Compliance Officer
P. N. Prasad Independent Non-Executive Director
Subrata Das Non-Executive Director
Sector and Competitors