Xiaomi India seeks regulatory clarity before adopting digital currency

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Xiaomi India is showing a growing desire towards the cryptocurrency industry. The Indian-based unit of the company’s operation is mindful of regulatory concerns and needs regulatory clarity from the government before launching a project in the industry.

Manu Jain, the subcontinent branch managing director, raised the caution during an interview with The Economic Times. Manu said, “We will want to wait for all the regulatory things”. The director acknowledged the immense potential of the industry which he termed “the biggest buzzword and is doing exceptionally well.” However, the firm desires to know the government’s position on regulatory matters.

Xiaomi India is expanding, and have sights on digital currency initiative

Manu’s statement on the firm’s anticipated dive into the digital currency world surfaces after its financial service business report shows a 35% increase in the first quarter of 2021. The increase can be attributed to the increasing expansion in its financial products.

Xiaomi India has increased its financial service products, it now includes lending and insurance. Last year, the firm launched e-commerce and loan services.

With the loan service, Xiaomi now offers business loans, with plans to launch gold loans. In addition, the company will start providing credit line cards.

Xiaomi India’s Head of Financial Services, Ashish Khandelwal, revealed that their financial service business operates as a marketplace for several collaborators offering their services on Xiaomi’s platform.

He said: “…our ability to serve customers was a bit compromised given the COVID situation last year, but there’s something we have been able to sail through. It is the right time for us to make it a full-blown proportion.”

Xiaomi India has partnered with Money View, IDFC Bank, Early Salary, Aditya Birla Finance Limited, Axis Bank, and Credit Vidya for lending services. And they collaborated with Stashfin to carry out the credit line cards.

Xiaomi still has their sights on integrating digital currency, but regulation remains a major challenge. In India, regulatory measures are shrouded in uncertainty, making it a headache for firms planning to venture into the industry.

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