Bybit to Temporarily Suspend Services in India Amid Regulatory Requirements
Dubai-based cryptocurrency exchange Bybit has announced a temporary suspension of its services for users in India due to regulatory developments in the country.
Starting Sunday, Bybit plans to restrict users in India from opening new trades or accessing platform products. The platform emphasized that withdrawals will remain available, as noted in a blog post published on Friday.
The pause in services, however, might not last long. Bybit revealed that it is in the process of completing its registration as a Virtual Digital Asset Service Provider under Indian law, which it expects to achieve in the near future.
“We are fully committed to resuming our services once the registration process with the Financial Intelligence Unit (FIU) is complete,” the exchange said in the statement.
India introduced new regulations in March 2023 requiring cryptocurrency platforms to register with the FIU, which oversees anti-money laundering measures. Crypto service providers were also mandated to comply with procedures outlined under the Prevention of Money Laundering Act (PMLA), including customer verification protocols.
India’s finance ministry clarified to CoinDesk last year that these rules apply to offshore cryptocurrency exchanges, warning that non-compliant platforms would face enforcement actions. CoinDesk reached out to Bybit for additional comments regarding the situation.
