They have announced that users can’t perform transactions on their platform through the bank transfer feature until they get a new banking partner.
According to WazirX, INR deposits to the Paytm Bank account aren’t processing. They issued a statement saying that bank transfer options through IMPS or NEFT are unavailable.
IMPS (Immediate Payment Service) is the service provider which ensures immediate inter-banks funds transfer.
NEFT: National Electronic Funds Transfer is one of the basic fund transfer methods used in offices and firms, where the funds are directly transferred to commodity accounts or equity trading accounts.
The recommended WazirX withdrawal method, for the time being, is WazirX P2P to buy/sell USDT with INR. Their statement also mentioned that they are in the process of adding new banking partners and adding more INR deposit options.
Paytm Payments bank announced to stop cryptocurrency transactions from Friday. Multiple other banks have also said that they won’t deal with crypto exchanges after receiving an informal order from RBI (the Reserve Bank of India).
Apart from WazirX, CoinSwitch Kuber and CoinDCX are also facing this issue. They are unable to offer UPI payment options for users after Paytm Payments bank and other banks stopped providing their transaction services.
The Ministry of Finance is looking for ways to regulate cryptocurrency transactions in the nation. However, NPCI (the National Payments Corporation of India), the operator of the UPI payments system, has refused to bank cryptocurrency transactions in India that use UPI.
NPCI has asked banks to check with their compliance departments to explore the required steps.
WazirX is an Indian cryptocurrency exchange with Nischal Shetty, Sameer Mhatre, and Siddharth Menon as its co-founders.
Users Complain About WazirX Withdrawal and Deposit
Until the crypto exchange solves this problem, users will find it difficult to withdraw funds from their WazirX accounts. Performing a WazirX withdrawal might be nearly impossible until the exchange finds a solution for their banking problem.
Many users reported that their deposits aren’t getting through. Their deposited amount gets deducted from their bank account but doesn’t reflect in their WazirX account.
The Indian crypto exchange should resolve this issue quickly to ensure clients don’t lose their funds because of their WazirX withdrawal and deposit errors.
Until WazirX announces new banking partners, it would be wise to avoid trading with this exchange. You might lose your money in a “banking error” because of this conflict.
Such issues give excuses to brokers and crypto exchanges to steal from their customers, putting their ethics in question.