FIU-IND has issued non-compliance notices to 15 offshore crypto platforms under Section 13 of the PMLA.
The action widens FIU-IND’s crackdown on offshore crypto platforms serving Indian users without registering under the country’s anti-money laundering framework.
Separate directions have been issued under the IT Act to take down the platforms’ apps and URLs in India.
The Financial Intelligence Unit-India (FIU-IND) has issued notices to 15 offshore virtual digital asset (VDA) service providers for non-compliance with provisions of the Prevention of Money Laundering Act (PMLA), 2002.
The notices were issued under Section 13 of the PMLA as part of the government’s compliance action against offshore crypto platforms serving Indian users without registering with FIU-IND.
The platforms named by the financial intelligence agency are Weex, Blofin, Rezorex, Bitunix, DigiFinex, Toobit, XT.com, Latoken, WOO X, Pionex, ChangeNow, SimpleSwap, Fixedfloat, WhiteBIT, and Guardarian.
Separate directions have also been issued under the Information Technology Act, 2000, to initiate the takedown of the applications and URLs associated with these platforms in India, the government said.
VDA service providers operating in India, irrespective of whether they are based in the country or overseas, are required to register with FIU-IND as reporting entities.
The requirement applies to platforms engaged in activities such as the exchange of virtual digital assets for fiat currencies, the transfer of VDAs, and the safekeeping or administration of such assets.
They are also required to comply with reporting, record-keeping, and other obligations prescribed under the PMLA. These requirements are based on the services offered and do not depend on whether the platform has a physical presence in India.
VDA service providers were brought under India’s anti-money laundering and counter-financing of terrorism framework in March 2023.
This is not the first time the government has acted against offshore crypto platforms for failing to comply with the country’s anti-money laundering requirements.
In October 2025, FIU-IND issued notices to 25 offshore VDA service providers, including Huione, Paxful, Changelly, BitMex, BingX, CoinEx, and LBank. Directions were also issued to initiate the blocking of their apps and URLs in India.
The latest action comes amid a broader debate over the regulatory treatment of crypto assets in India.
In July, the Parliamentary Standing Committee on Finance, in its recommendations on the proposed Securities Markets Code, 2025, called for an interim regulatory mechanism for VDAs. This could include a recognised self-regulatory organisation operating under a designated regulator.
The committee also sought clarity on the treatment of crypto investment products and tokenised securities under the proposed legislation.
While the government does not recognise cryptocurrencies as legal tender, platforms providing VDA-related services to Indian users are covered by the country’s anti-money laundering framework.
The government has repeatedly cautioned investors that crypto assets and non-fungible tokens remain unregulated and carry significant risks. It has also warned that investors may have no regulatory recourse for losses arising from transactions involving such assets.
Source: Inc42
