Crypto Crackdown: FIU Issues Notices to 15 Crypto Platforms, Seeks Blocking of Websites and Apps

India’s Financial Intelligence Unit (FIU-IND) has issued non-compliance notices to 15 Virtual Digital Asset Service Providers (VDA SPs) for failing to adhere to the country’s anti-money laundering regulations. The agency, operating under the Ministry of Finance, has requested relevant authorities to block access to the websites and applications of these entities operating illegally in the Indian market.

The regulatory action was taken under Section 13 of the Prevention of Money Laundering Act (PMLA). Identified offshore platforms, which include Weex International Exchange, BLF Global, Bitunix LLC, DigiFinex Ltd, and FinSeven CZ, have been operating without fulfilling mandatory registration requirements as reporting entities. How Indians Use Crypto for Groceries and Gold via Overseas Gift Cards? Know Loopholes.

Under Indian statutory provisions, all crypto entities providing services to Indian residents-whether based onshore or offshore-must strictly comply with national Anti-Money Laundering (AML) and Counter-Financing of Terrorism (CFT) frameworks. FIU-IND clarified that these compliance obligations are activity-based and remain enforceable regardless of a company's physical presence in India. Cryptocurrency in India: Top 5 Crypto Exchange Apps in India for Online Trading.

The government brought virtual digital asset providers under the statutory ambit of the PMLA in March 2023. Covered activities include crypto-to-fiat exchanges, crypto-to-crypto trading, asset transfers, and wallet administration services. Alongside the enforcement measure, the Ministry of Finance reiterated that virtual digital assets remain unregulated in India and carry significant financial and security risks for individual investors.

(The above story first appeared on LatestLY on Sep 09, 2026 01:38 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).