CoinDCX CEO Proposes INR-Backed Stablecoin to Cut Remittance Costs by 90%

CoinDCX CEO Sumit Gupta has advocated for the creation of a regulated, INR-backed stablecoin to support India’s digital transformation and reduce the country’s staggering $125 billion annual remittance costs. Gupta argues that such a stablecoin could slash remittance fees by as much as 90%, enabling faster and more affordable cross-border transactions while increasing the amount of money retained by Indian households [1]. He emphasized that blockchain-based solutions could complement India’s already robust digital payment infrastructure, such as the Unified Payments Interface (UPI), which processed 12 billion transactions in June 2025 alone [1].

Gupta highlighted that stablecoins are already playing a significant role in global finance, with the international market valued at over $150 billion and led by tokens like Tether (USDT) and Circle’s USDC. These instruments are used for trade, payments, and as a bridge between traditional and digital financial systems [1]. Despite India’s rapid adoption of fintech, it has yet to develop its own stablecoin tied to the rupee, a gap Gupta views as a missed opportunity [1].

Addressing concerns about financial stability, Gupta noted that modern stablecoins operate under strict transparency and reserve requirements. He pointed to USDC as an example, which is fully cash-reserved and undergoes daily attestations and monthly third-party audits [1]. Gupta proposed that India could adopt even stricter safeguards, including 100% rupee reserves, daily transparency reports, and direct oversight by the Reserve Bank of India (RBI). These measures, he argued, would make INR-backed stablecoins more stable than traditional banks, which operate on fractional reserve models [1].

The CEO also dismissed fears that stablecoins could destabilize India’s financial system. He pointed out that stablecoins currently hold over $120 billion in short-term U.S. Treasuries and act as reliable buyers of safe assets. Additionally, during the 2023 Silicon Valley Bank crisis, Circle’s USDC remained stable despite large redemptions, demonstrating the resilience of properly regulated stablecoins [1]. Gupta also noted that India already manages a variety of digital payment instruments without compromising the integrity of the rupee, and stablecoins would simply offer another interoperable tool in the broader ecosystem.

Gupta emphasized that INR-backed stablecoins could serve multiple strategic purposes for India, including reducing remittance costs, enabling faster settlements for exporters, expanding financial inclusion, and strengthening the rupee’s position in global digital finance. He urged policymakers to develop a regulatory framework that would turn risk into opportunity, rather than hinder innovation [1].

Source: [1] [CoinDCX CEO Pushes for INR-Backed Stablecoins to Cut India’s $125B Remittance Costs](https://www.cryptoninjas.net/news/coindcx-ceo-pushes-for-inr-backed-stablecoins-to-cut-indias-125b-remittance-costs/)