- Bybit has been successfully registered in the Indian Financial Intelligence Unit (FIU-Ind).
- The Indian government requires that all virtual digital asset services suppliers (VDASPS) register with FIU-IND and adhere to strict AML and CFT measures.
- Bybit resolved a fine of $ 1 million before obtaining approval.
BybitThe second largest cryptocurrency change in the world by negotiation volume, has been recorded in the Indian Financial Intelligence Unit (FIU-Ind). This development occurs after the exchange resolved a monetary fine of approximately $ 1 million (INR9.27 million rupees) to operate without prior authorization.
Bybit regulatory journey in India
The Bybit registration with FIU-IND shows its intention to adhere to the regulatory landscape of India. The exchange has been working closely with FIU-IND to guarantee full compliance with the money laundering prevention law (PMLA) and associated regulations.
Bybit recognizes the importance of the robust anti-launch of money (AML) and the combination of terrorism financing measures (CFT) and undertakes to maintain the highest standards in these areas.
In a statement, Bybit mentioned: “We have been working diligently with the FIU-IND to address their concerns and guarantee total adhesion to the law for money laundering and associated regulations.”
The exchange also highlighted its proactive steps to resolve previous regulatory issues, demonstrating even more its dedication to transparency in the Indian market.
Cryptocurrency Regulatory Environment of India
India’s position on cryptocurrencies has been characterized by caution and deliberation. In March 2023, the Government ordered that all cryptographic exchanges, including platforms on the high seas, register with FIU-IND and comply with the PMLA. This movement aimed to improve supervision and mitigate the risks associated with money laundering and terrorist financing.
In December 2023, the Indian Financial Intelligence Unit (FIU IND) issued compliance notices to nine main platforms, including Binance and Kraken, for allegedly operating illegally in the country.
Despite the regulatory challenges, the Indian cryptography market has witnessed substantial growth. Investors have poured significant capital into digital assets, even when the government imposed a 30% Tax on cryptographic profits and a 1% TDS in transactions. These measures, introduced in July 2022, were designed to bring cryptocurrency transactions under the fiscal network and monitor the flow of digital assets.
In the 2025-26 Union Budget, the Minister of Finance, Nirmala Sitharaman, proposed an amendment to the Income Tax Law, which requires that designated report entities reveal the details of the transaction related to virtual digital assets (VDA). This movement aims to strengthen the reporting framework and guarantee greater transparency in cryptographic transactions.
More from Alexablockchain
Bybit initiatives in India
Beyond regulatory compliance, Bybit is actively involved with the Indian cryptography community. The exchange has become an associated silver member of the Bharat Web3 Association (BWA), with the aim of promoting the adoption of web3 and promoting innovation in the Indian cryptographic ecosystem.
The nonprofit initiative of Bybit, Blockchain for Good Alliance (BGA), has been associated with the Blockchain societies of the best universities, including Indian Technology Institutes (IIT) Delhi and Iit Kharagpur. Through these collaborations, Bybit plans to carry out a series of hackatones, workshops and other events to boost cryptographic education and awareness and blockchain in India.
The widest implications of the Bybit Registry with FIU-IND
The Bybit registration with FIU-IND and its proactive steps in the Indian market reflect a broader trend of global cryptography exchanges that seek to align with local regulations. This approach guarantees compliance and generates trust between users and regulators.
The cryptocurrency landscape of India is at a crossroads. The strict tax regime and government regulatory measures indicate a cautious approach, however, the important investment and interest in digital assets suggest a flourishing market. The recent movement to include cryptographic assets in the definition of unleashed income also shows the intention of the government to harden supervision.
The Secretary of Economic Affairs, Ajay Seth, highlighted the need for a balanced approach, stating that India’s position cannot be unilateral given nature without borders of cryptocurrencies. This perspective suggests that India is open to reassess its cryptographic policies in the light of global developments.
Read also: Bitcoin ETF linked to Trump could become the first investment vehicle linked to a president of the United States
Discharge of responsibility: The information provided in Alexablockchain is only for informative purposes and does not constitute financial advice. Read the discharge of complete responsibility here.
Image credits: Without stellar, Shuttersock, Getty Images, Pixabay, Pexels, Canvas
