When you trade crypto in India, FIU-IND compliance, the financial intelligence unit of India’s Central Board of Direct Taxes that tracks suspicious crypto transactions. Also known as the Financial Intelligence Unit—India, it’s not just paperwork—it’s the gatekeeper for any exchange wanting to operate legally here. If an exchange doesn’t follow FIU-IND rules, it gets shut down. Users lose access. Funds get frozen. This isn’t theoretical—it’s happened before, and it will happen again.
FIU-IND compliance ties directly to AML crypto, anti-money laundering rules that force exchanges to know who their users are and report large or odd transactions. That’s why you see KYC forms everywhere. But it’s more than just ID checks. It’s about tracking flows—like when Iranians send billions out via Bitcoin, or when Kazakhstan caps mining power to stop grid crashes. FIU-IND watches for the same red flags: sudden large deposits, anonymous transfers, or platforms with no transparency. Exchanges like INX Digital, which follow SEC rules, understand this. They build compliance into their DNA. But platforms like GroveX or BloFin, which boast no-KYC trading, walk a razor’s edge. They might attract users looking for privacy, but they’re also sitting on a ticking bomb under Indian law.
It’s not just about exchanges. crypto exchange rules, the legal frameworks that dictate how platforms must operate under national oversight. are changing fast. Vietnam’s Directive 05/CT-TTg demands $379 million in capital. Kazakhstan forces miners to sell 75% of their crypto on state platforms. India’s FIU-IND doesn’t demand that much yet—but it doesn’t need to. It just needs to track. If your wallet connects to an unregistered exchange, you’re not just taking a risk—you’re part of a trail that regulators can follow. And when they do, they don’t just shut down the platform. They come for the users too.
What you’ll find below isn’t a list of compliant exchanges. It’s a collection of real cases—some where rules were ignored, others where they were followed. You’ll see how crypto mining in Iran ties into currency collapse, how Canadian tax rules mirror global reporting demands, and why platforms like Bittworld vanish overnight. These aren’t isolated stories. They’re all connected by the same thread: FIU-IND compliance isn’t just about India. It’s part of a global shift where crypto can’t hide anymore. The question isn’t whether you’ll face these rules. It’s whether you’re ready for them.
Avoid these crypto exchanges if you're in India - WazirX, Binance, and Bybit have faced major hacks or regulatory penalties. Learn the red flags and safer alternatives for 2025.