India has intensified enforcement against offshore cryptocurrency platforms, with the Financial Intelligence Unit-India (FIU-IND) issuing notices to 15 virtual digital asset service providers for alleged anti-money laundering violations.
According to the Finance Ministry, the FIU-IND issued the notices under Section 13 of the Prevention of Money Laundering Act, 2002. The agency also directed authorities to block the platforms’ applications and URLs from being accessed in India.
Fifteen Offshore Platforms Face Action
The entities named are Weex, Blofin, Rezorex, Bitunix, DigiFinex, Toobit, XT.com, Latoken, WOO X, Pionex, ChangeNow, SimpleSwap, Fixedfloat, WhiteBIT and Guardarian.
All 15 are offshore crypto platforms allegedly operating in India without meeting compliance requirements. The government said the FIU directed the takedown of the “application/URLs for public access which are operating illegally without complying with the relevant provisions of the PMLA in India.”
FIU Registration is Mandatory
Virtual digital asset service providers were brought under India’s anti-money laundering and counter-financing of terrorism framework in March 2023.
Since then, companies providing services such as crypto-to-fiat exchange, transfers, custody or administration of virtual assets must register with the FIU as reporting entities.
The requirement applies regardless of where the company is based. According to the agency, offshore exchanges serving Indian customers must comply with the same registration and reporting obligations as domestic platforms.
Crypto Remains Outside Legal Tender Framework
India recognizes cryptocurrencies as virtual digital assets for limited taxation and anti-money laundering purposes, but they are not legal tender.
The agency reiterated that cryptocurrency products and non-fungible tokens remain unregulated and carry high risks, with users having no regulatory recourse for losses arising from such transactions.
Final Thoughts
The notices send a clear message to foreign crypto businesses targeting Indian users: physical presence is not required for Indian compliance obligations to apply. Platforms serving the market without FIU registration could face website and app restrictions.
Also Read: India’s First Tokenized Bond: What Changes When Debt Moves to Blockchain
Disclaimer : Crypto News India does not recommend that any cryptocurrency should be bought, sold, or held by you. Do conduct your own due diligence and consult your financial advisor before making any investment decisions.
