Bybit, a prominent cryptocurrency exchange, has made significant progress in resuming operations in India by successfully registering with the country's Financial Intelligence Unit (FIU).
Securing FIU Registration
On February 5, Bybit announced its official registration with India's FIU, a crucial requirement for any financial entity operating in the region. Vikas Gupta, Bybit’s country manager for India, expressed confidence in the process, stating that the exchange expects to secure its full operational license in the coming weeks. After resolving previous regulatory issues, including a $1.06 million fine payment for violations, the company is ready for the next phase.
Pursuing VDASP License
Beyond its FIU registration, Bybit is aiming for a Virtual Digital Asset Service Provider (VDASP) license, which would allow it to fully operate in India’s crypto market. The application for VDASP registration was submitted on June 26, 2024, and is now awaiting approval. This move follows a temporary suspension of services in India, underscoring the company’s commitment to a market comeback.
India's Strong Stance on Crypto
Bybit is not the only exchange facing actions from Indian authorities. Binance, KuCoin, and OKX have also encountered challenges due to tightened registration and compliance requirements. However, both Binance and KuCoin agreed to comply with India's PMLA rules and resumed operations after securing regulatory approval. These changes reflect India's firmer approach to regulating the crypto industry.
With its registrations and commitment to strict compliance with Indian financial laws, Bybit expects to fully resume its operations in the country, aligning with the overall trend towards more stringent regulation in India’s cryptocurrency market.
