India Gets Serious About Cryptocurrency: Warning to Foreign Exchanges Under New Rules

India's Crypto Warning: Overseas Exchanges Alerted to New Rules - Understanding the Changes in Digital Money!

Dec 31, 2023 - 09:23
Dec 31, 2023 - 09:23
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India Gets Serious About Cryptocurrency: Warning to Foreign Exchanges Under New Rules
India Gets Serious About Cryptocurrency: Warning to Foreign Exchanges Under New Rules

India is getting serious about cryptocurrency. They sent notices to big crypto platforms like Binance, Kraken, KuCoin, and Huobi, saying, "Show us you're following the rules, or we might block your websites." The government wants to stop these foreign crypto sites that they think are doing illegal things in India.

The officials explained that even though these foreign crypto sites have lots of Indian users, they didn't bother to register and play by the rules to stop money laundering and terrorism funding. This comes after India made new rules for crypto this year, trying to keep a close eye on digital money, just like other countries.

In 2022, India made local crypto exchanges' lives harder by putting a tax on their transactions. This made many traders move to foreign sites where they don't have to pay that tax. Local exchanges say this tax hurt their money-making.

Now, India is saying, "Hey, show us you're doing the right thing!" The local crypto exchanges are worried because they think many Indian traders are now using foreign sites that don't follow Indian rules. One big Indian crypto exchange, CoinDCX, says almost all the trading is happening on these foreign sites.

Binance, which is the biggest crypto exchange in the world, is feeling the heat from governments everywhere. They recently agreed to pay $4.3 billion because they didn't follow some money rules. The boss of Binance, Changpeng Zhao, even had to step down because of this.

So, India is showing it's not messing around when it comes to crypto. They want everyone to play by the rules, or they might block the foreign crypto websites. Let's see how this unfolds!

Also Read: Cathie Wood ARK ETF Swaps Bitcoin Strategies: Out with Grayscale, In with ProShares Power Move

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