Koinex

Koinex was an Indian cryptocurrency exchange platform founded in August 2017 by Rahul Raj, Rakesh Yadav, and Aditya Naik, all alumni of the Indian Institutes of Technology (IIT). The Mumbai-based company provided a peer-to-peer trading platform that enabled users to buy, sell, and trade multiple digital assets, including Bitcoin, Ethereum, Ripple, Litecoin, and Bitcoin Cash. It was one of the first platforms in India to offer a live, open order book exchange, which provided transparent pricing for buyers and sellers.

The company launched during the 2017 cryptocurrency boom and experienced rapid initial growth, reaching a peak trading volume of $265 million and onboarding over 40,000 users in a single 24-hour period in December 2017. Koinex secured approximately $1.66 million in funding from investors such as Beenext, Pantera Capital, and Venture Catalysts.

However, the company's trajectory was significantly impacted by regulatory challenges. In April 2018, the Reserve Bank of India (RBI) issued a circular preventing regulated financial institutions from dealing with individuals or businesses transacting in virtual currencies. This move created major operational hurdles, including the closure of bank accounts, denials of payment services, and disruptions to non-crypto transactions like payroll and rent payments. Despite legal challenges to the RBI's stance, the persistent regulatory uncertainty and resulting operational difficulties led to a sharp decline in trading volumes. Citing these pressures, Koinex announced it was ceasing all operations on June 27, 2019. In February 2024, it was announced that Koinex had partnered with CoinDCX, another Indian crypto exchange, to allow former Koinex users to access and recover their assets through the CoinDCX platform.

Keywords: cryptocurrency exchange, digital assets trading, peer-to-peer exchange, Bitcoin, Ethereum, Ripple, blockchain, fintech, Koinex shutdown, Indian crypto market, Rahul Raj, Rakesh Yadav, Aditya Naik, RBI crypto ban, crypto regulation India, Pantera Capital, Beenext, CoinDCX