India Registers 49 Crypto Exchanges Under AML Rules

Source: Coinomedia Original Title: India Registers 49 Crypto Exchanges Under AML Rules Original Link: In a major update to India’s crypto regulatory landscape, the Financial Intelligence Unit (FIU-IND) has announced that 49 cryptocurrency exchanges have successfully completed AML registration in India for the financial year 2024-25. This includes 45 domestic exchanges and 4 offshore platforms that have now formally aligned with India’s anti-money laundering (AML) regulations.

The announcement is a significant step in the Indian government’s ongoing efforts to bring cryptocurrency transactions under legal oversight and combat financial crimes such as money laundering and terrorism financing.

The registration process, overseen by the FIU, ensures that these exchanges follow proper record-keeping, report suspicious transactions, and comply with financial transparency norms. This move further solidifies the government’s commitment to integrate digital asset platforms within the broader financial system.

Penalties Reflect Tough Stance on Non-Compliance

Alongside the progress in compliance, FIU-IND revealed that it had imposed penalties totaling INR 2.8 billion (approximately $33.6 million) during the previous fiscal year. These penalties targeted platforms that failed to meet AML standards or neglected the registration process.

The tough enforcement signals a clear message: India is serious about maintaining a regulated crypto environment. The compliance gap between registered and non-registered entities is closing rapidly, and platforms that ignore regulatory responsibilities will face heavy consequences.

Offshore exchanges operating in India have also started to respond, as many had earlier faced warnings or bans for not adhering to the country’s AML guidelines. The inclusion of four foreign exchanges in the registered list shows growing cooperation and awareness across borders.

What This Means for India’s Crypto Ecosystem

The rise in AML registration in India showcases growing maturity in the domestic crypto industry. With compliance becoming a prerequisite for operation, users can expect better security, reduced fraud risks, and increased transparency.

Moreover, it helps pave the way for institutional participation and clearer guidelines from regulators like the Reserve Bank of India (RBI) and the Securities and Exchange Board of India (SEBI).

India’s proactive steps are being closely watched globally as a potential model for emerging economies looking to regulate digital assets without stifling innovation.