CoinDCX

CoinDCX is a company that specializes in crypto-enabled financial services. CoinDCX was founded in 2017 and is headquartered in Mumbai, Maharashtra, India. They are well known as India's largest cryptocurrency exchange.^[1]

In May 2020, the company raised about $2.5 million in a follow-on investment round led by Polychain Capital and Coinbase Ventures. In June 2020, CoinDCX launched CoinDCX Learn, a learning platform dedicated to blockchain and cryptocurrencies.^[2]

On December 16, 2020, CoinDCX announced it is set to launch liquid ETH-backed tokens for its users. It will be a 1:1 Ethereum token and will be issued to all Ethereum staked holders who have staked or may stake in the future. The token issue is expected to take place in the last week of January 2021. The token will also be liquid and tradeable on CoinDCX markets.^[1]

On December 21, 2020, CoinDCX raised 100 crore INR ($13.9 million USD) in the third round of funding. The Series B round was led by Block.one and included DG, Jump Capital, Uncorrelated Ventures, Coinbase Ventures, Polychain Capital, Mehta Ventures, and Alex Pack.^[8]

Overview

CoinDCX was founded in 2017 by Sumit Gupta and Neeraj Khandelwal as an aggregator of cryptocurrency trading services. The startup aggregates global liquidity and trading services onto a single platform.^[3]

Features

DCXMargin

DCXmargin is the margin trading platform of CoinDCX. With DCXmargin, a user does not need to "own" or have possession of the underlying asset to enter a contract. The company provides the funding for a user to trade against other assets, at a leverage ratio of up to 5:1.^[5]

DCXLend

DCXlend is a lending platform where a user can earn interest through cryptocurrencies that they hold in their CoinDCX account. They can earn up to 2% interest on major cryptocurrencies like Bitcoin and Tether (USDT).^[4]

DCXInsta

DCXinsta is a user's one-stop-shop P2P to buy 75+ cryptocurrencies instantly with INR.^[1]

DCXStaking

CoinDCX Staking feature allows users to earn easy income for holding cryptos in their CoinDCX wallets. Currently, it supports EOS (EOS), Tezos (XTZ), NEO (NEO), Harmony (ONE), Qtum (Qtum), TRON (TRX).^[7]

ETH 2.0 Staking

CoinDCX supports the upgradation of the Ethereum network (Ethereum 2.0) by providing a staking product for users who are unable to stake on the deposit contract for various reasons. It provides a '"locked staking"' facility with a minimum requirement of 0.1ETH. The estimated rewards vary from 10% to 20%. The user staked funds will not be available for trading and withdrawal before Ethereum phase 1.5.^[7]

Aside from the launch of the new Ethereum-backed tokens, CoinDCX preparing to launch an ecosystem for its users to get the benefits of Ethereum 2.0.^[4]

CoinDCX Learn

In June 2020, CoinDCX launched a learning platform dedicated to blockchain and cryptocurrencies. According to a June 16 announcement, the CoinDCX Learn platform is a blockchain and cryptocurrency academy that offers guides, articles, courses, and lectures. The firm’s CEO and co-founder Sumit Gupta commented:^[5]

“With the potential to accelerate financial inclusion in India, as well as opening gateways to new forms of investing, cryptocurrencies can benefit everyone. However, for Indians to take full advantage of crypto, we need to lay the groundwork through appropriate education. With DCX Learn, we want to arm users with the knowledge necessary to navigate crypto markets.”

The platform aims to explain the concepts of cryptocurrencies through infographics, tutorial videos, and content that should be understandable by beginners.^[6]

CoinDCX Go

On December 10, 2020, CoinDCX introduced CoinDCX Go, an app to help newcomers buy cryptocurrency with ease in India. The CoinDCX Go app is open for public beta testing and it is available on Google Play Store and App Store (iOS). Using the CoinDCX app, users can buy any cryptocurrency.^[1]

Funding

In March 2019, CoinDCX raised an undisclosed amount of funding in its seed round led by venture capital company Bain Capital Ventures. Other notable angel investors including Sanjay Mehta, Sung Ho Choi, Karn Nagpal, Jatin Aneja, Rafael Ugolini, and Utsav Somani also participated in the round.^[8]

The company had raised a $3 million Series A round in March 2020, which was led by Polychain Capital and included Bain Capital Ventures and HDR Group, operator of BitMEX.

In May 2020, the company raised about $2.5 million in a follow-on investment round led by Polychain Capital and Coinbase Ventures, the investment arm of American cryptocurrency major Coinbase. The fresh round of funds is intended to help the startup drive crypto adoption in India and support its plan of increasing crypto investors/traders in India to 50 million. Funds will also be deployed towards a blockchain and cryptocurrency learning program aimed at first-time cryptocurrency traders.^[9]

In December 2020, CoinDCX raised 100 crore INR ($13.9 million USD) in the third round of funding. The Series B round was led by Block.one and included DG, Jump Capital, Uncorrelated Ventures, Coinbase Ventures, Polychain Capital, Mehta Ventures, and Alex Pack.^[10]

Compiling all three rounds of funding in 2020, CoinDCX raised close to $19.4 million USD. “While the pandemic forced everyone indoors, CoinDCX scaled up exponentially and continues to do so. Our team tripled in number from 30 in March to 90 in December, and we are continuing to hire aggressively," said Sumit Gupta, CEO and co-founder of CoinDCX.^[8]

India’s first cryptocurrency unicorn

Despite local authorities' opposition to cryptocurrencies, CoinDCX secured 6.70 billion rupees ($90 million) from investors led by Facebook Inc. co-founder Eduardo Saverin's B Capital Group, becoming India's first cryptocurrency unicorn.
According to chief executive officer and co-founder Sumit Gupta, the most recent fundraising round values the company at $1.1 billion. Existing investors Coinbase Ventures, Polychain Capital, Block.one, and Jump Capital are among the other investors. Gupta intends to utilize a portion of the cash to expand his team in India, where cryptocurrency investments increased to almost $6.6 billion in May from around $923 million in April 2020, according to Chainalysis, by about 200 individuals over the course of the next six months.

“I am pretty sure the industry will be regulated at the right time,” Gupta said. “We have chosen to put at stake our money and career as we feel this is going to be a very good wealth generation opportunity for people.”

The investment comes as Indian politicians continue to dispute the legality of digital currencies; only last week, the central bank expressed "serious concerns" over private virtual currencies and stated the government will eventually adopt a position.

Mumbai, July 1st, 2021: As of July, CoinDCX, India's largest and safest cryptocurrency exchange platform, will become the Official Overseas Sponsor of Team Sri Lanka, marking the company's first-ever sponsorship relationship with a cricket team. The first game of the Sri Lanka vs. India T20 series is scheduled for July 21, 2021, in Sri Lanka. The three One Day Internationals are a part of the Indian team's visit of Sri Lanka (ODIs).In terms of sponsorship, it's a ground-breaking partnership with CoinDCX making new ground as the first cryptocurrency business to sign on as a cricket sponsor.
The T20 Cup has traditionally been a source of unmatched enthusiasm for both nations and is anticipated to draw a large youthful audience. Meanwhile, interest in cryptocurrencies as an asset has increased among young investors. With this sponsorship, CoinDCX targets the Gen-Z and millennial populations, which have developed an interest in the cryptocurrency market and are most likely to explore investing in crypto assets. It offers CoinDCX a fantastic chance to get widespread publicity and increase brand memory among the youthful audience demographic. This will make it easier for the exchange of digital assets to reach out to potential investors.
CoinDCX has been a pioneering participant in the cryptocurrency market in India with its mission to make cryptocurrency widely accessible to Indians. The sponsorship of Team Sri Lanka represents a substantial effort on the part of CoinDCX to inform and enlighten individual investors across the nation about new generation assets. Additionally, they may strategically position their brand to flourish by appealing to young cricket enthusiasts in India.

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