Coinbase Sets Sights on India as Growth Market Amid Strategic Reentry

By: Eliza Bennet

Coinbase, the prominent US-based cryptocurrency exchange, is making a strategic comeback in the Indian market after withdrawing over two years ago. This move highlights the company's perspective towards India as a significant growth market, even through a backdrop of policy uncertainty. The company's reentry involves reactivating app registrations within the country, with plans to introduce local fiat on-ramps by 2026. The announcement was recently made by John O’Loghlen, Coinbase's Director for Asia-Pacific, during the India Blockchain Week.

The renewed focus on India marks a significant step for Coinbase after its initial foray in the Indian crypto landscape faced challenges that led to its withdrawal in September 2023. The initial exit followed a rocky debut of a local exchange service begun in 2022, which suffered setbacks due to regulatory compliance issues and banking partner constraints. The return strategy aims at enhancing user experience by providing direct fiat-to-crypto conversion mechanisms, slated to launch in 2026. This will potentially bridge gaps in the financial ecosystems experienced by Indian users in the crypto arena.

This initiative is part of Coinbase's broader strategy to tap into emerging markets with high growth potential. Despite ongoing regulatory hurdles, such a move underscores Coinbase's commitment to establishing a robust presence in India. The long-term investment outlook suggests Coinbase is banking on a more stable regulatory stance in the future that can support vibrant crypto activities. India's burgeoning interest in blockchain technologies and digital currencies makes it a strategic focal point for global crypto operators aiming to expand their influence and user base.

Coinbase's endeavor to resume operations in India not only widens its international footprint but also reinforces its ambition to diversify crypto adoption on a global scale. As the Indian crypto market continues to mature, Coinbase seeks to play a pivotal role in its evolution, potentially leading to increased accessibility and user engagement within the crypto ecosystem.