• Bybit has resumed operations in India after registering with FIU-IND, paying a $1 million compliance fee, and meeting anti-money laundering requirements.
  • The exchange is expanding its presence by joining the Bharat Web3 Association and partnering with university blockchain societies.

Bybit, one of the world’s largest cryptocurrency exchanges by trading volume, has resumed operations in India after temporarily suspending services due to regulatory requirements.

The company announced that it has now registered with India’s Financial Intelligence Unit (FIU-IND) and met compliance obligations under the country’s anti-money laundering framework.

Bybit had halted trading in India about a month ago following a directive from FIU-IND, which required the exchange to obtain licensing and pay a $1 million compliance fee.

In a statement, the company emphasized its commitment to adhering to Indian regulations, stating,

“Bybit is committed to operating within the regulatory framework of India and takes its compliance obligations seriously. We have been working diligently with the FIU-IND to address their concerns and ensure full adherence to the Prevention of Money Laundering Act (PMLA) and associated regulations.”

The move comes amid shifting attitudes toward cryptocurrency regulation in India. While the government has previously taken a strict stance—advocating for bans on private cryptocurrencies while promoting the development of a central bank digital currency (CBDC)—recent statements from officials suggest a potential shift.

India’s Economic Affairs Secretary recently indicated a more open approach, suggesting that crypto assets “don’t believe in borders” and hinting at possible regulatory adjustments.

Despite its return to India, Bybit continues to navigate regulatory challenges globally. Authorities in Japan recently urged the exchange to register its operations, and French users have been restricted from withdrawing assets. India has also taken a firm stance on crypto taxation, imposing a 30% tax on digital asset gains and a 1% tax deducted at source (TDS) on transactions.

Bybit’s re-entry into the Indian market is accompanied by efforts to engage with the local Web3 ecosystem. The exchange has partnered with blockchain societies at several universities and joined the Bharat Web3 Association. It is also organizing workshops and hackathons to support India’s growing crypto community.

Bybit is not the only exchange facing regulatory scrutiny in India. Binance recently settled an $85 million tax dispute with Indian authorities, while other platforms like WazirX have faced similar regulatory challenges.

As the cryptocurrency industry continues to expand, India's approach to digital assets remains a focal point, with ongoing discussions about balancing regulation with innovation.

Edited by Harshajit Sarmah