Bitcoin Forum

India is country of with IT potential. When would I be able to see Indian exchange like? I so much want to trade.
Any comments?

    Please visit INRBTC (https://inrbtc.com) - Bitcoin Trading Platform

    Since our launch in September we have completed 450 Trades ( As on 28-Nov-2013 ) successfully and going strong.


   

Thanks INRBTC! But, I was talking about those automated exchange have in developed country. Why haven't we came up with such exchange yet? Too much of technology involved in it? What's the reason?

RBI

Regulations.. Tech is secondary part and not an issue.
No one wants to touch it before hearing something from Regulators.

Regards

RBI and Regulations though they might seem like a hindrance, they are not. The mark of a growing industry is when regulations are put in place. They are needed because when a large number of population come to accept a specific technology or a Industry they should be protected from fly by night operators.


 For me the clincher definitely was technology.  Not that we do not have the technical people to get the exchange running. National Stock Exchange is the premier exchange we have in India and in most ways it is way ahead of exchanges in other parts of the world.

 With Bitcoin, the biggest threat is that this technology is not sufficient to prevent hackers.  The latest exchange to get hit is BIPS. 

With all the exchanges currently it is not a question of whether they will get hacked, it is a question of When ?

How can your platform safeguard against such 'hacks' ?

Rather than obsess ourselves with trying to solve the question of "How to not get hacked ?"

the question we tried to answer was "How to setup a system such that the users fund and bitcoins are always protected ?"


The answer to that questions is INRBTC - Bitcoin Trading Platform (https://inrbtc.com)


Neither do we store user's bitcoins nor their funds. Once a trade is executed, the Seller sends us the bitcoins and the buyer sends the funds directly to the Seller. After the seller confirms the deposit in the bank account, we transfer the bitcoins to the buyer and also release the bitcoins deposit  of both the buyer and the seller. ( More info is at FAQ (https://intbtc.com/info/faq) )

For the whole duration of a trade, we hold the bitcoins deposit of the buyer and seller and for a very short duration, we are the custodians of the bitcoins of the seller. 


As the trades are being continuously settled, at any point of time we do not hold more than 10 -15% of the bitcoins being traded on our platform.  This ensures that even if by any circumstance our system gets compromised/hacked, the damage is very minimal.


Along with all this, we also have a Service Guarantee. As part of our service guarantee we cover up to 25 BTC or the equivalent in value of Indian Currency.

This Service Guarantee Fund will be updated  based on the average trading volume on our platform.

What if one hacks your site, and messes with your trade bot/system ?

instead of connecting the original  buyers/sellers what if they connect the buyers/sellers with a scammer ?

You must understand that these are all just hypothetical questions. Btw check your mail.

Every Order placed on our platform has to be backed by a deposit equal to 10% of order value.

After a trade takes place, the seller is asked to transfer the bitcoins for the trade to a specific bitcoin address and buyer is also sent this address to verify.


So, until the scammer has the intention to lose the 10% order value for every scam trade, he might as well honor the trade agreement.


Your, next question might be "what if those bitcoin addresses are also of the scammer ? "

Well, in that case  either us or the buyer will notice that the bitcoins are not there and we can immediately halt the trading system and take immediate action.


Like I said  "We have designed our system such  that at most there can be only minimal damage"


I appreciate your questions and also the follow up, and I am more than glad to answer them.  It will also help others who have similar concerns regarding safety.

We've seen lot of activity from Buttercoin executive in India, who claims to be in process of talk with well known banks in India. Therefore, I expect Indian exchange to be live within 3 months.

*Fingers crossed*

I have spoken to Sunny as well and it will be nice to see how this happens.

I do not believe that a well known bank will allow for BTC transactions. Their strategy is to target existing companies with money transmitter licences and there are not too many of those in India.