Binance CEO Changpeng Zhao (CZ) is currently not a viable business environment for his cryptocurrency exchange, citing strict tax regimes. An executive explained:
He is the CEO of Binance on the Indian cryptocurrency environment.
He is the CEO of the cryptocurrency exchange Binance. I don’t think it’s a country where you can expand your exchange business. He explained the details at his Techcrunch Crypto conference on Thursday.
Zhao is particularly disappointed with the Indian government’s implementation of virtual currency taxation earlier this year. In addition to his 30% tax on crypto income, crypto trading is tax withheld (TDS) and he is eligible for a 1% tax deduction.
Citing India’s aggressive tax environment, the CEO of Binance said:
He emphasized:
A user can lose 70% of his money in a day he can trade 50 times. Become. There is no volume for order book type exchanges. So we don’t see any viable business in India today.
“We’re just waiting. We’re talking to a lot of industry groups and influencers and trying to put some logic into it,” CZ said.
“We are trying to get this message across, but it usually takes a long time to change the tax system,” warned Zhao, adding: I was.
– Crypto and Pro Business. We do not go to countries where sustainable business is not viable.
Several other global cryptocurrency exchanges, such as Nasdaq-listed cryptocurrency exchange Coinbase, have started operations in India. trying to launch. The exchange, which he tried to launch in India in April, shut down service soon after. Coinbase CEO Brian Armstrong said in May that it had disabled support for local payment system UPI “due to unofficial pressure from the Reserve Bank of India.”
Cryptocurrency income and transactions are taxable, but India does not yet have a regulatory framework for cryptocurrencies. Indian Finance Minister Nirmala Sitharaman previously said that cryptocurrency regulation would be one of the focal points of India’s G20 presidency. The government wants to establish a technology-driven regulatory framework for cryptocurrencies after discussions with other G20 countries.
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