Cryptocurrency exchange ZebPay aims to have a userbase of six million for FY23, Avinash Shekhar, CEO, ZebPay, a cryptocurrency exchange, told FE Digital Currency. “We currently have a userbase of two million customers, who have completed the Know Your Customer (KYC) protocol. In FY22, the exchange clocked transactions worth eight billion dollar,” he added.
However, he refused to comment on the turnover projection in FY23. The exchange claims to have invested 100% of its net revenue into operations. “Our current net profit margin is nil. After the 30% taxation policy came into effect, we have seen a 60% fall in trading volumes, which is expected to further decline after the one percent tax deductible at source (TDS) comes into effect,” Shekhar stated. In FY22, the exchange claimed to have made a net profit of 20% on the net revenue.
The exchange claims to be bootstrapped in nature. “Our main revenue model revolves around the 0.06-0.20% brokerage charged for buying and selling of cryptocurrencies, depending on the volume of trade,” Shekhar said. The exchange claims to charge a membership fee of two dollar, per month, to customers who keep their cryptocurrencies with the exchange’s digital wallet.
Moreover, the exchange claims to have a business tie-up with digital asset trust and security company BitGo to manage the services related to its digital wallet. “We have entered into a business partnership with blockchain data platform Chainalysis which helps us with the anti money laundering (AML) analysis of transactions,” Shekhar said. Currently, the exchange supports trading of 150 different cryptocurrencies.