India cracks down on 25 crypto exchanges including BingX, LBank, CoinW over compliance failures

Core Insights - The Indian government is targeting offshore crypto platforms with significant assets, as the Financial Intelligence Unit India (FIU-IND) has issued notices to 25 exchanges for non-compliance with anti-money laundering regulations [1][2] Group 1: Regulatory Actions - The FIU-IND has issued notices to 25 crypto exchanges, including notable platforms such as BingX, LBank, CoinW, and ProBit Global, for failing to adhere to anti-money laundering rules [2] - The Indian finance ministry has mandated these platforms to withdraw their apps and websites from public access in India, although many remain accessible as of the latest update [2] - A total of 50 crypto exchanges have registered with India's anti-money laundering watchdog, with previous actions taken against major platforms like Binance, Coinbase, KuCoin, and OKX [5] Group 2: Market Impact - Among the 25 exchanges targeted, 14 collectively hold over $9 billion in assets and have recorded approximately $20 billion in trading volume within the last 24 hours [3] - Binance resumed its operations in India in August 2024, while Coinbase re-entered the market earlier this year, launching an early-access program for Indian users [6] Group 3: Regulatory Framework - India currently lacks a dedicated regulatory framework for cryptocurrencies; however, the finance ministry has indicated that virtual asset service providers are subject to the Prevention of Money Laundering Act of 2002 [4] - Compliance with the FIU-IND's reporting and compliance requirements has become mandatory for crypto exchanges serving Indian users [4]