The Economic Times of India, citing sources familiar with the matter, reported that Binance, the world’s largest cryptocurrency exchange, is preparing to pay a $2 million fine and return to India.
exchange According to reports We aim to reform South Asian entities to ensure full registration with India’s Financial Intelligence Unit, which oversees local trading of digital assets, and are committed to complying with all relevant regulations, including local money laundering and taxation laws.
In January Blocked by Indian government Nine cryptocurrency websites operating illegally without properly complying with local regulations. Following government action, Apple and Google stores have removed cryptocurrency exchange apps from their regions.
“We are committed to complying with local regulations and maintaining dialogue with regulators around the world to ensure the continued availability of our services,” Binance South Asia’s X account said in January.
Before the ban, Binance accounted for about 90% of Indian investors’ cryptocurrency holdings, estimated at around $4 billion, according to the Economic Times. The reason it previously dominated the market may be due to non-compliance with local tax laws, allowing users to trade cryptocurrencies without paying the 1% tax withheld, the report said.
Binance and FIU did not immediately respond to The Block’s request to confirm and clarify details about the return plan to India.
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About the author
Danny Park is The Block’s East Asia reporter, writing about topics including Web3 development and cryptocurrency regulation in the region. He previously worked as a reporter for Forkast.News, where he actively covered the fall of Terra-Luna and FTX. Based in Seoul, Danny previously produced written and video content for media companies in Korea, Hong Kong and China. He holds a Bachelor’s degree in Journalism and Business Marketing from the University of Hong Kong.