Coinbase Global, one of the world’s leading cryptocurrency exchanges, has officially registered with India’s Financial Intelligence Unit (FIU), marking a significant step toward establishing its presence in the country’s booming digital asset market.
The company confirmed on Tuesday that it intends to roll out retail trading services later this year, followed by a range of investment products tailored for Indian users.
While Coinbase has not provided a fixed timeline for the launch, the registration with FIU underscores the exchange’s commitment to complying with Indian regulations and signals its renewed push into India’s cryptocurrency ecosystem.
Despite regulatory ambiguity, India remains one of the largest cryptocurrency markets in the world, with millions of active investors. A growing young population, increasing digital adoption, and rising interest in alternative investments make the country an attractive destination for global crypto platforms.
“India represents one of the most exciting market opportunities in the world today, and we’re proud to deepen our investment here in full compliance with local regulations,” said John O’Loghlen, Coinbase’s regional managing director for Asia Pacific.
This expansion comes as India experiences a surge in retail crypto adoption, with more individuals exploring digital assets despite regulatory challenges and taxation concerns.
With its FIU registration, Coinbase joins established players such as CoinDCX, Binance, and KuCoin, adding to the competition in India’s vibrant cryptocurrency landscape. The exchange's entry is expected to bring:
More Choices for Investors – Increased liquidity, diverse trading pairs, and innovative investment products.
Enhanced Security & Compliance – Strengthened anti-money laundering (AML) measures and improved consumer protection.
Global Expertise – A leading exchange with experience in regulated markets worldwide.
Under Indian law, all virtual digital asset service providers (VASPs), including crypto exchanges, are required to register with the Financial Intelligence Unit (FIU) as reporting entities. This mandates compliance with anti-money laundering (AML) regulations, ensuring that platforms monitor transactions, report suspicious activities, and uphold financial transparency.
By securing FIU registration, Coinbase aligns itself with India’s regulatory requirements and demonstrates its willingness to operate within the country’s legal framework.
Despite the opportunities in the Indian crypto market, taxation remains a major hurdle for both investors and exchanges. Currently, India imposes:
A 30% tax on crypto trading gains
A 1% tax deducted at source (TDS) on every transaction
These stringent tax policies have led to decreased trading volumes on Indian platforms, with many investors turning to overseas exchanges. However, the country’s large and rapidly growing retail investor base continues to attract global players like Coinbase.
With six million-plus crypto users in India, Coinbase sees long-term potential in the market. Although the exact launch date for retail trading services is yet to be announced, the exchange is likely to introduce localized investment products and educational initiatives to boost adoption.
Moreover, Coinbase’s entry could encourage other global crypto firms to follow suit, potentially leading to a more structured and regulated digital asset ecosystem in India.
Coinbase’s decision to register with the FIU and launch trading services in India signifies its commitment to the Indian market despite regulatory and taxation challenges. With a growing retail investor base, increasing digital adoption, and an evolving regulatory landscape, India remains a crucial market for global crypto firms.
As Coinbase gears up for its official launch in India later this year, the move is expected to intensify competition, provide better investment options, and contribute to the maturation of India’s cryptocurrency sector. Whether regulatory hurdles will impact its growth remains to be seen, but for now, Coinbase’s return to India marks a significant milestone in the country’s crypto journey.