Mumbai-based cryptocurrency trading platform CoinDCX has announced the launch of Bharat Custody, a third-party custodial service for digital assets. Unveiled at the company’s flagship event Unfold 2024, this service aims to fill the critical gap in India’s crypto ecosystem by providing a secure solution for storing virtual digital assets like shares and bonds. The rollout is planned in phases starting in 2025.

Bharat Custody is being positioned as a localized alternative to depositories in traditional finance, specifically designed for India’s unique needs. It is expected to cater to a burgeoning market of over three crore crypto investors in the country. According to Sumit Gupta, Co-Founder and CEO of CoinDCX, the absence of such a service has been a long-standing challenge in India’s digital asset space.

“With over three crore investors already engaged in India’s crypto ecosystem—a number that continues to grow—there is a clear and urgent demand for a solution. Currently, no localised custody solution exists in the Indian market, creating a critical gap that the industry must address collaboratively,” Gupta remarked during the launch event.

CoinDCX plans to allocate Rs 50 crore towards research and development for Bharat Custody. The initiative will involve establishing geographically distributed physical operations across India, ensuring robust security and accessibility. “We have identified multiple physical spots geographically distributed in India where operations will happen. We’ve gotten validated from some of the investors who hold custody probably 10 times bigger than us to review the architecture,” Gupta added.

The announcement comes amid growing interest in the regulation and mainstreaming of cryptocurrencies in India. Bharat Custody aims to provide a trusted and compliant infrastructure for institutional and retail investors to park their digital securities safely. By bridging the trust gap, CoinDCX hopes to foster wider adoption of virtual digital assets.

CoinDCX has been actively working on expanding its portfolio to support India’s crypto ecosystem. With Bharat Custody, the company aspires to set a benchmark for custodial services in the country, emphasizing security, transparency, and user trust. The phased launch is expected to enable CoinDCX to refine its services based on market feedback and scalability requirements.

The unveiling of Bharat Custody at Unfold 2024 underscores CoinDCX’s vision to lead India’s transition into a secure and globally competitive digital asset economy.