- Approval of New Crypto Exchanges
- Background on Bans and Current Actions
- Impact on India's Crypto Market
India's Financial Intelligence Unit (FIU) is planning to approve two additional offshore crypto exchanges to restart operations. Following approvals for Binance and KuCoin, requests from four more crypto exchanges are under scrutiny.
Approval of New Crypto Exchanges
Currently, India's FIU is examining requests from four overseas crypto exchanges previously blocked for not adhering to AML regulations. An unidentified source reports that at least two of these exchanges are expected to be permitted to resume operations by the end of FY25.
Background on Bans and Current Actions
In January, India restricted access to URLs and mobile applications of nine foreign crypto exchanges, including Binance and KuCoin. So far, KuCoin and Binance have registered with India's FIU. OKX, on the other hand, completely shut down its operations, citing regulatory burdens.
Impact on India's Crypto Market
Raj Kapoor, founder of the India Blockchain Alliance, sees a significant impact on the Indian crypto market from the clearance of two additional offshore exchanges. He believes this will increase competition and provide better trading options for Indian investors, although it may also present regulatory challenges for domestic exchanges.
The approval of new crypto exchanges and upcoming consultations on crypto legislation could significantly affect the development of India's crypto industry. Supportive government policies will play a critical role in shaping this process.
Comments