Indian crypto trading is plummeting after the government introduced a 30% income tax and a 1% tax per transaction on crypto trades, Crypto Telegraph reports.

The Tax Deducted at Source (TDS) came into effect on July 1 and appears to have negatively affected traders as exchange volumes dropped from 37.4% on BitBNS and 90.9% on CoinDCX by July 3.

The new tax law is forcing crypto exchanges to leave the country and set up shop in Singapore and Dubai.

Nischal Shetty and Siddharth Menon, co-founders of WazirX, have now reportedly shifted operations to Dubai, although they still plan on doing business out of Mumbai, Block Works reports.

While the new taxation in India appears restrictive and discouraging to investors, Dubai has a full exemption on cryptocurrency taxes — similar to its treatment of personal income.

The emirate’s crypto regulator, the Virtual Assets Regulatory Authority, began handing out crypto exchange licenses in March, and two months later Dubai announced its first law regulating digital assets.