Binance and KuCoin Secure Registration from Indian Anti-Money Laundering Authority

Two of the most well-known cryptocurrency exchanges, Binance and KuCoin, have received approval from India's anti-money laundering department, becoming the first authorized offshore crypto-related entities in the country.

Vivek Aggarwal, head of India's Financial Intelligence Unit (FIU-IND), said that both exchanges have registered with the agency, signaling a shift in credibility for the crypto industry in India. Aggarwal also revealed that the FIU-IND will be forming a working group with the industry to review compliance guidelines regarding money laundering laws for virtual digital asset service providers.

In December of last year, India blocked nine leading crypto exchanges​, including Binance, Kraken, HTX, KuCoin, Bittrex, Gate.io, Bitstamp, Bitfinex, and MEXC Global, citing their alleged illegal operations and non-compliance with the Prevention of Money Laundering Act.

KuCoin has already paid a $41,000 fine and resumed business in India, while Binance will need to settle a penalty after a hearing with the FIU-IND before it can resume operations. Binance would settle with a $2 million fine, citing people familiar with the matter.

Among the other sanctioned platforms, Kraken, Gemini, and Gate.io have begun negotiations with the regulator, while OKX​ and Bitstamp have submitted plans to exit the country.

According to Aggarwal, there are currently 48 crypto entities in India registered as reporting entities under the Prevention of Money Laundering Act.