Cryptocurrency Regulation India: What You Need to Know
When working with cryptocurrency regulation India, the framework that governs digital assets, exchanges, and investors across the country. Also known as crypto policy India, it pulls together tax rules, licensing, and anti‑money‑laundering standards. cryptocurrency regulation India encompasses three core layers: government legislation, central bank guidance, and securities oversight.
Key Players Shaping the Landscape
The Reserve Bank of India, the nation’s central bank that issues circulars on crypto activities sets the tone by limiting banking services for unregistered crypto firms and issuing warnings about investor risk. Meanwhile, the Securities and Exchange Board of India (SEBI), the regulator overseeing securities markets, is drafting rules for crypto‑related investment products. Together they influence which tokens can be traded, how exchanges must register, and what reporting obligations exist for traders.
Beyond RBI and SEBI, the Ministry of Finance drives the tax regime. Since 2022, crypto gains are treated as capital gains, with a 30% flat rate plus applicable securities transaction tax. The Goods and Services Tax (GST) also applies when services like wallet provisioning are offered. These fiscal rules create a clear cost structure for anyone buying, selling, or staking digital assets.
For exchanges, compliance means KYC/AML checks, regular audits, and a formal application to the Financial Intelligence Unit. Crypto platforms that ignore these requirements risk shutdown, fines, or being black‑listed from banking channels. Investors should verify that an exchange holds a valid registration certificate before depositing funds.
Looking ahead, India is debating a comprehensive Digital Asset Policy that could introduce a crypto‑friendly licensing regime, clarify token classifications, and integrate the upcoming digital rupee. Until the policy lands, staying updated on RBI circulars and SEBI drafts is the safest way to navigate the market. Below you’ll find a curated list of articles that break down specific rules, tax filing tips, and practical steps for compliant trading.
