See More

Indian Crypto Industry Welcomes Govt Plans to Introduce Anti-Money Laundering Measures

2 mins
Updated by Geraint Price
Join our Trading Community on Telegram

In Brief

  • Crypto businesses in India will now come under the ambit of Prevention of Money Laundering Act.
  • The industry stakeholders have welcomed the decision.
  • India wants to use it presidency of the G20 to bring attention to crypto regulations.
  • promo

The Indian government has put the crypto sector under Prevention of Money Laundering Act (PMLA). But is it a signal of greater regulation to come?

According to the Ministry of Finance, all Virtual Digital Assets businesses will come under PMLA. This means that the businesses would have to perform and report:

  1. Know your Transactions (KYT)
  2. Transactions monitoring and reporting
  3. Address screening and reporting
  4. Suspicious Activities Reports (SARs)
  5. Suspicious Transactions Report (STRs)

Experts Encouraged by Crypto Regulations

The Indian industry stakeholders have mostly welcomed the government’s decision. Nischal Shetty, the Chief Executive Officer of the WazirX exchange, has called it a “good step towards regulating the crypto industry in India.”

Sumit Gupta, the CEO of CoinDCX exchange, told Moneycontrol, “Slowly but surely, we are moving towards a regulated crypto ecosystem! Entities such as CoinDCX are now required by law to conduct due diligence and enhanced due diligence under the PMLA.”

Gaurav Dahake, CEO of Bitbns exchange, told BeInCrypto that they are studying the implications of the new PMLA requirements. He says, “We already comply with the norms of transaction monitoring, etc. What additional things would be there we need to figure out.”

Crypto influencer Keyur Rohit believes, “This is the dawn of a new era for the crypto industry, and the future looks bright.”

A CoinSwitch spokesperson told BeInCrypto, “The new rules are introduced to prevent misuse of crypto, such as money laundering, and they do not stop the regular, KYC-verified conversion of crypto to INR users do on the CoinSwitch app or CoinSwitch PRO platforms.

Crypto regulations have become a focal point of India’s presidency of the G20 intergovernmental forum. The Finance Minister, Nirmala Sitharaman, is seeking a globally coordinated effort to regulate the asset class.

Got something to say about crypto regulation in India or anything else? Write to us or join the discussion on our Telegram channel. You can also catch us on TikTok, Facebook, or Twitter.

For BeInCrypto’s latest Bitcoin (BTC) analysis, click here

Top crypto projects in the US | April 2024



In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.

Harsh Notariya
Harsh Notariya excels in delivering SEO-optimized crypto news under tight deadlines. Previously, as a Growth Marketer at Sporty and a Community Consultant at Totality Corp, he significantly boosted community engagement and followers. Harsh also crafted engaging content for top crypto influencer Shivam Chhuneja, blending meme references for an educational yet fun experience. His versatile skills make him a notable figure in crypto journalism.