Mudrex starts crypto withdrawal after 15-day break

Edul Patel, CEO, Mudrex

Crypto investment platform Mudrex has resumed withdrawals after an over 15-day halt following a compliance upgrade, coming at a time when Indian investors have become wary following the previous year’s $230-million WazirX hack.

With more than 3 million users, Mudrex,  which put withdrawal of crypto on hold on January 12, claims to be the only platform in India to offer both crypto deposits and withdrawals. Mudrex had continued INR withdrawals, which account for 95 percent of its withdrawals, during the period.

“As a global platform, Mudrex adheres to both local and international regulatory guidelines. In line with the Financial Action Task Force (FATF) and local regulatory requirements like complying with FIU and AML guidelines, Mudrex requires users to verify their details through its Customer Due Diligence (CDD) & Enhanced Due Diligence (EDD) processes. These stringent measures are designed to combat financial crimes,” the startup said in a note.

Mudrex CEO and co-founder Edul Patel told Moneycontrol, “The intent was to update our infrastructure and make the process of verification automated and faster for our users. That process is now completed and the change is live."

Alankar Saxena, co-founder and CTO of Mudrex, said the platform was working on a compliance mechanism which allows investors to do crypto withdrawals on-chain. “Some parts of that process were manual and the team had some inefficiencies doing it. It required a lot of time as well to evaluate all the documents and then get back to the user for verification and then get it approved. So we have done automated upgrade on this system now,” he said.

Founded in 2018, the Bengaluru-based tech startup offers several crypto-based investment products like bitcoin ETFs, futures trading through coin sets and crypto trading.