- The FIU-IND fined Binance $2.25 million in June for not adhering to AML laws.
- Binance seeks to fully comply with Indian laws as it is now a FIU-registered virtual asset service provider (VASP) in India.
Global crypto exchange Binance has officially stepped into its 19th country as it has now registered with India’s Financial Intelligence Unit (FIU-IND). With that, Indian users can access the exchange’s website and application without interruptions.
“As part of our ongoing efforts to uphold the highest regulatory standards, we are proud to announce that Binance has successfully registered as a reporting entity with India’s Financial Intelligence Unit (FIU),” an announcement issued by the exchange on August 15 read.
This development occurs as Binance experiences a turbulent year in the Indian subcontinent. FIU-IND took the platform down in January due to Binance operating without regulatory authorization. Its services were eventually restored in May as the regulator offered it a provisional registration, however, it was subject to penalties. In June, the agency hit Binance with a $2.25 million fine for failing to set up anti-money laundering (AML) protocols and thus not abiding by India’s Prevention of Money Laundering Act (PMLA), 2002.
Since it has that out of the way, the FIU-IND has finally authorized its operations in the country. Binance emphasized its willingness to comply with Indian AML requirements. “The registration with the FIU underscores Binance’s commitment to compliance with anti-money laundering (AML) standards in India as well as any other jurisdiction it operates in,” its announcement continued to read.
Binance’s Legal Troubles Are Not Over in India
However, the troubles of the exchange in the country are not over yet. India’s Directorate General of Goods and Services Tax Intelligence (DGGI) issued an $86 million bill to Binance this month, claiming it owed the sum in back taxes for not paying the Goods and Services Tax (GST) despite servicing Indian clients and collecting fees.
Still, the registration success with the FIU-IND is a massive feat, and the Binance CEO rejoiced. “Our registration with the FIU-IND marks an important milestone in Binance’s journey,” said Richard Teng. He added, “It is a privilege to extend the reach of our cutting-edge platform to this thriving market, supporting India’s continued VDA evolution.”
