India is turning up the pressure on crypto platforms operating without the country’s blessing. On Wednesday, the Financial Intelligence Unit (FIU) issued non-compliance notices to 15 platforms, including Weex, Blofin, Bitunix, DigiFinex, and Toobit.
The move goes beyond paperwork. The agency also asked for the platforms’ applications and URLs to be removed from public access, arguing that the companies were operating illegally in India without meeting requirements under the Prevention of Money Laundering Act, or PMLA.
The list reads like a roll call of exchanges and crypto services with international footprints. Alongside the better-known names are Rezorex, XT.com, Latoken, WOO X, Pionex, ChangeNow, SimpleSwap, FixedFloat, WhiteBIT, and Guardarian.
The action reflects a policy India has been tightening for several years. In March 2023, the country expanded its anti-money laundering and counter-financing of terrorism rules to cover virtual digital asset service providers operating in India, whether they are based domestically or overseas.
That distinction matters. Under the framework, crypto businesses do not escape the rules simply because they have no physical office in India. The Finance Ministry has said registration with the FIU, along with reporting and record-keeping duties under the PMLA, applies regardless of an entity’s physical presence in the country.
Why Crypto Platforms Are Feeling the Pressure
India’s regulators have already shown that these requirements can change how global crypto platforms operate. In January 2025, Bybit temporarily restricted services in the country while it completed FIU registration, later restoring full access to its app.
Coinbase has also resumed onboarding Indian users after registering with the FIU. Binance, meanwhile, returned to the Indian market in 2024 after paying a $2.25 million penalty.
The latest notices suggest the distinction between a global website and a local market is becoming increasingly difficult for crypto platforms to ignore. Access may be international, but regulators can still expect compliance when users in their jurisdiction are being served.
There is another wrinkle for Indian crypto users. The FIU said that crypto products and non-fungible tokens remain unregulated in India. It also warned that transactions may leave users without regulatory recourse if they suffer losses.
That creates an unusually stark tension: crypto platforms can be subject to anti-money laundering rules while the underlying products themselves remain outside a broader regulatory framework.
For crypto platforms trying to maintain access to one of the world’s largest markets, the message is increasingly straightforward. Operating from abroad may change where a company is incorporated, but it does not necessarily change which rules apply when it serves Indian users.
