The Google Play Store in India has removed cryptocurrency trading apps for Binance and OKX after receiving a notification of regulatory violations from the government. This decision mirrors the actions of the Apple App Store in India, which were taken in December 2023.
On December 28, 2023, the Financial Intelligence Unit (FIU) of the Ministry of Finance of India sent a notice of illegal activities in India to the following cryptocurrency platforms: Binance, KuCoin, Huobi, Kraken, Gate.io, Bittrex, Bitstamp, MEXC Global, and Bitfinex.
Notification of OKX App Removal from Google Play Store.
The notice from the Financial Intelligence Unit (FIU) of the Ministry of Finance of India stated that any exchange providing services to Indian users must register as a "reporting entity" and submit reports to the income tax department. FIU proposed that the Ministry of Electronics and Information Technology block the websites of the mentioned exchanges due to non-compliance with requirements.
Despite the removal of the Binance and OKX apps from the Google Play Store, the Binance app and website remain accessible and operational for existing users.
In a statement on the X platform (formerly known as Twitter), Binance South Asia stated that they are aware of the app blockage in India and assured users of the safety of their accounts and funds.
Following India's introduction of a 30% tax on cryptocurrency and a 1% tax deduction for each cryptocurrency transaction, the volume of local cryptocurrency exchanges significantly decreased, and Indian users turned to foreign cryptocurrency exchanges to avoid high taxation.
The Finance Bill for India in 2022 was passed by the parliament in March 2022 and made amendments to tax rules, imposing a 30% tax on cryptocurrency holding and transfer. Additionally, traders cannot offset losses with profits, and each trading pair is considered separately for tax calculation.
