Indian crypto regulations: What's legal, banned, and changing in 2025

When it comes to Indian crypto regulations, the rules governing cryptocurrency use, trading, and taxation in India. Also known as crypto laws India, these rules have shifted from outright bans to strict oversight—making compliance non-negotiable for users and businesses alike. Unlike countries where Bitcoin is legal tender, India doesn’t ban crypto ownership, but it doesn’t recognize it as money either. That gray area is where the real challenges begin.

What you need to know starts with FIU compliance, the financial intelligence unit’s requirement for crypto exchanges to register and report transactions. Also known as crypto reporting India, this rule forces platforms like WazirX and CoinSwitch to track every deposit, withdrawal, and trade. If you’re using an exchange that doesn’t show FIU registration, you’re risking your funds—and possibly your money. Then there’s crypto tax India, the 30% tax on crypto gains and 1% TDS on every transaction. Also known as crypto income tax India, it’s not optional. The IRS-style tracking means even small trades leave a digital trail. No one’s getting away with hiding crypto earnings anymore. And while you can still buy Bitcoin or Ethereum, crypto exchanges India, the platforms where you trade or store digital assets. Also known as Indian crypto platforms, many have been shut down or fined—Binance and Bybit have both faced major penalties. That’s why avoiding risky platforms isn’t just smart, it’s essential.

These rules aren’t static. The government is still deciding whether to allow crypto as a payment method, whether to launch a central bank digital currency (CBDC), and how to handle DeFi protocols. Meanwhile, users are stuck in the middle: free to hold, taxed heavily on trades, and forced to use only compliant exchanges. The result? A market that’s alive but tightly controlled. If you’re trading in India, you’re not just betting on price—you’re betting on regulation staying predictable.

Below, you’ll find real reviews of exchanges that got flagged, deep dives into tax traps, and clear breakdowns of what’s still allowed. No fluff. Just what you need to protect your crypto under India’s current rules.