Amid the turmoil in the Indian cryptocurrency market, why CoinDCX chose to enter the Middle East and North Africa market

According to Indian cryptocurrency exchange CoinDCX's post on X (formerly Twitter), they acquired UAE-based BitOasis on Wednesday, July 3, for an undisclosed amount.

The acquisition will benefit BitOasis by providing equity in a larger company and allowing it to leverage CoinDCX's global influence and expertise.

The BitOasis brand and leadership will remain unchanged post-acquisition. Gupta estimates the acquisition could generate an additional $30 million to $50 million in annual revenue for CoinDCX.

This move reflects CoinDCX's strategic goal to expand its influence and operations beyond India.

Reasons for CoinDCX's Acquisition of BitOasis:

BitOasis Reacquires License

BitOasis, known for its high trading volume in UAE dirhams, had its Minimum Viable Product (MVP) operational license suspended by the Dubai Virtual Assets Regulatory Authority (VARA) in July last year for not meeting local requirements. Recently, BitOasis regained this license from the Central Bank of Bahrain (CBB), allowing it to operate as a broker-dealer under strict regulatory conditions.

India's Cryptocurrency Landscape

India's uncertain regulatory environment and high taxes on cryptocurrency earnings have pushed CoinDCX to seek growth opportunities abroad. The company aims to navigate the challenging market conditions in India by expanding its presence in regions like the UAE.

UAE's Support for Bitcoin Mining

The UAE is emerging as a preferred destination for cryptocurrency companies and has contributed significantly to the global Bitcoin hash rate. Its supportive environment and increasing resources make it a strategic location for CoinDCX's expansion.

CoinDCX and BitOasis Overview

CoinDCX is a leading Indian cryptocurrency exchange with over 15 million users and quarterly spot trading volume exceeding $840 million. Founded in 2018, CoinDCX became India's first crypto unicorn in 2021. BitOasis, established in 2015, is the largest crypto platform in the MENA region and has handled $6 billion in transactions.

Impact on Users

The acquisition is expected to enhance user experience by providing a broader range of products and increasing trading options. User accounts will remain separate, and personal data will continue to be protected under BitOasis's privacy policies.

By acquiring BitOasis, CoinDCX aims to bolster its market presence, diversify its revenue streams, and navigate regulatory challenges, ensuring continued growth and user satisfaction.