The Financial Intelligence Unit-India (FIU-IND) under the Union Ministry of Finance has issued notice to 15 crypto platforms for non-compliance with anti-money laundering law and asked the entities to take down their application and websites for public access.
The Financial Intelligence Unit-India (FIU-IND) has issued notices to 15 crypto platforms for non-compliance with anti-money laundering laws and had asked authorities to block public access to their websites and applications, the Ministry of Finance (MoF) said in a statement on Wednesday.
The MoF said that all Virtual Digital Asset Service Providers (VDA SPs) operating in India, whether offshore or onshore, and engaged in activities such as the exchange of virtual digital assets and fiat currencies, or the transfer of virtual digital assets, are required to register with FIU-IND as reporting entities and comply with the Prevention of Money Laundering Act (PMLA).
A VDA SP is any business that facilitates transactions, trading, transfers, or the safekeeping of digital assets such as cryptocurrencies and non-fungible tokens (NFTs) on behalf of customers.
The registration requirement is activity-based and is not contingent on an entity’s physical presence in India. The rules mandate reporting, record-keeping, and other compliance obligations for VDA SPs under the PMLA, including registration with FIU-IND.
FIU-IND has issued the notices for non-compliance under Section 13 of the Prevention of Money Laundering Act, 2002.
More from BusinessAdditionally, the MoF said that the FIU-IND issued requests for the blocking of websites and applications under Section 79(3)(b) of the Information Technology Act, 2000, and Rule 3(1)(d) of the IT (Intermediary Guidelines and Digital Media Ethics Code) Amendment Rules, 2025.
“It is pertinent to mention, for the safety and awareness of the general public, that crypto products and NFTs are unregulated and can be highly risky. There may be no regulatory recourse for any loss arising from such transactions,” the MoF further said.
