India Orders Takedown of 15 Crypto Platforms Over AML Compliance

India’s Financial Intelligence Unit issued non-compliance notices to 15 virtual digital asset service providers on September 9, seeking the removal of their applications and URLs from public access over alleged failures to meet anti-money-laundering requirements. The action, announced by the government’s Press Information Bureau at 11:12 IST, could restrict access in India to the named platforms.

FIU-IND names 15 platforms in PMLA notices

The Financial Intelligence Unit-India, or FIU-IND, issued the notices under Section 13 of the Prevention of Money Laundering Act. The platforms named were Weex, Blofin, Rezorex, Bitunix, DigiFinex, Toobit, XT.com, Latoken, WOO X, Pionex, ChangeNow, SimpleSwap, FixedFloat, WhiteBIT and Guardarian.

The government said the providers were operating in India without complying with relevant provisions of the PMLA. The notices are directed at virtual digital asset service providers, a category that covers businesses serving users in the digital-asset market.

Takedown requests target apps and web access

Alongside the non-compliance notices, FIU-IND sought to remove the companies’ applications and web URLs from public access, making app and website availability the immediate enforcement focus rather than merely demanding that the firms address compliance issues.

The requests cover both routes through which Indian users might access the services. As The Block reported, the action could limit Indian access to the named platforms; the government announcement does not specify when any individual app or URL would be removed.

India’s AML rules apply to offshore providers serving Indian users

India has applied anti-money-laundering and counter-terrorist-financing obligations to virtual digital asset providers since March 2023.

The framework is activity-based, covering offshore and onshore businesses that serve Indian users regardless of physical presence in India. It includes registration, reporting and record-keeping requirements.

FIU-IND’s September 9 action places the 15 named providers under that regime and seeks the removal of their apps and URLs from public access.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.