Translate'%3e%3cpath%20fill='%23ffffff'%20d='M%2087.636719%20131.8125%20L%2087.632812%20131.796875%20M%20344.1875%20153.058594%20L%20344.238281%20153.042969%20L%20344.144531%20153.042969%20L%20273.226562%20126.554688%20L%20273.1875%20126.507812%20L%20273.128906%20126.519531%20L%20224.152344%20108.226562%20L%20224.132812%20108.21875%20L%20224.113281%20108.175781%20L%20224.046875%20108.1875%20L%20187.472656%2094.527344%20L%20187.488281%2094.5%20L%20128.769531%20116.429688%20L%2087.625%20131.800781%20L%2030.746094%20153.042969%20L%20104.796875%20180.699219%20L%20107.859375%20181.84375%20L%20150.726562%20197.855469%20L%20187.488281%20211.585938%20L%20229.398438%20195.933594%20L%20267.121094%20181.84375%20L%20276.933594%20178.179688%20L%20344.167969%20153.066406%20L%20344.214844%20153.066406%20L%20344.1875%20153.058594%20'%20fill-opacity='1'%20fill-rule='nonzero'/%3e%3c/g%3e%3cpath%20fill='%23ffffff'%20d='M%20107.859375%20188.507812%20L%20107.859375%20219.835938%20L%20107.863281%20219.835938%20C%20107.863281%20219.859375%20107.859375%20219.882812%20107.859375%20219.910156%20C%20107.859375%20232.941406%20116.6875%20244.746094%20130.972656%20253.316406%20C%20145.398438%20261.976562%20165.390625%20267.34375%20187.488281%20267.34375%20C%20190.335938%20267.34375%20193.144531%20267.25%20195.914062%20267.078125%20L%20195.914062%20267.074219%20C%20217.316406%20265.738281%20236.1875%20259.347656%20249.117188%20249.945312%20C%20260.367188%20241.765625%20267.121094%20231.308594%20267.121094%20219.910156%20C%20267.121094%20219.882812%20267.117188%20219.859375%20267.117188%20219.835938%20L%20267.121094%20219.835938%20L%20267.121094%20188.507812%20L%20187.488281%20218.25%20L%20107.859375%20188.507812%20'%20fill-opacity='1'%20fill-rule='nonzero'/%3e%3cg%20clip-path='url(%236691404858)'%3e%3cpath%20fill='%23ffffff'%20d='M%2092.464844%20259.238281%20L%2092.421875%20258.8125%20L%2089.839844%20231.960938%20L%2089.726562%20230.78125%20L%2088.480469%20217.851562%20L%2089.527344%20217.851562%20L%2089.527344%20203.476562%20C%2090.964844%20202.183594%2091.875%20200.3125%2091.875%20198.222656%20C%2091.875%20197.152344%2091.636719%20196.140625%2091.210938%20195.234375%20C%2090.515625%20193.757812%2089.328125%20192.558594%2087.859375%20191.851562%20L%2087.859375%20174.375%20L%2081.617188%20172.046875%20L%2081.617188%20191.910156%20C%2079.3125%20193.078125%2077.726562%20195.460938%2077.726562%20198.222656%20C%2077.726562%20200.3125%2078.636719%20202.183594%2080.078125%20203.476562%20L%2080.078125%20217.851562%20L%2081.21875%20217.851562%20L%2080.464844%20225.59375%20L%2079.523438%20235.222656%20L%2077.203125%20258.945312%20L%2077.195312%20259.027344%20L%2075.9375%20271.894531%20L%2074.8125%20283.398438%20C%2074.785156%20283.648438%2074.78125%20283.929688%2074.8125%20284.183594%20C%2075.191406%20287.339844%2079.96875%20289.722656%2085.484375%20289.503906%20C%2091%20289.292969%2095.167969%20286.558594%2094.789062%20283.398438%20L%2092.464844%20259.238281%20'%20fill-opacity='1'%20fill-rule='nonzero'/%3e%3c/g%3e%3c/svg%3e)
Crypto Regulations in India — Complete Timeline
Last updated: 2026-03-21 · 21 events tracked
Yes, cryptocurrency is legal in India as of 2026.The Supreme Court overturned the RBI banking ban in March 2020. India regulates crypto through taxation (30% flat tax + 1% TDS) and exchange registration (FIU-IND). Crypto is not legal tender — only the Indian Rupee is. Exchanges like CoinDCX operate legally under FIU registration.
Current Status (2026)
Legal Status
Legal (Regulated)
Tax Rate
30% + 1% TDS
Regulator
FIU-IND / SEBI
CBDC
e₹ (Pilot)
Timeline of Events
1 January 2026
Enhanced FIU reporting requirements
FIU-IND tightens reporting requirements for crypto exchanges. All transactions above ₹10 lakh must be reported. Suspicious transaction reporting (STR) thresholds lowered. Travel rule implementation begins.
1 March 2025
SEBI proposes multi-regulator framework
SEBI proposes that different aspects of crypto be regulated by different bodies: SEBI for tokens that function as securities, RBI for stablecoins and payments, and FIU-IND for AML compliance.
1 February 2025
Budget 2025 — Status quo on crypto tax
Union Budget 2025-26 maintains 30% tax and 1% TDS unchanged. No new regulations or bans proposed. Crypto industry continues to operate under the 2022 framework.
23 July 2024
Budget 2024 — No crypto tax relief
Union Budget 2024-25 makes no changes to the 30% VDA tax or 1% TDS. Industry requests for reduced TDS (0.01%) and loss offset are not addressed.
10 May 2024
Binance returns to India after FIU registration
Binance registers with FIU-IND and pays a ₹18.82 crore penalty. Resumes operations in India as a compliant exchange. Other offshore platforms follow with registrations.
1 January 2024
FIU blocks non-compliant offshore exchanges
FIU-IND issues compliance notices to 9 offshore exchanges (Binance, KuCoin, Huobi, etc.) operating in India without registration. Orders Apple and Google to remove their apps from Indian stores.
9 September 2023
India pushes global crypto framework at G20
Under India's G20 presidency, members agree on a roadmap for global crypto regulation. India's synthesis paper proposes comprehensive regulation over outright ban. Significant shift from India's earlier ban stance.
7 March 2023
FIU-IND registration mandated for exchanges
Government mandates all Virtual Digital Asset Service Providers (VDASPs) to register with Financial Intelligence Unit India (FIU-IND) and comply with anti-money laundering (PMLA) rules.
1 December 2022
Digital Rupee (e₹) retail pilot launches
RBI launches e₹-R (retail) pilot in 4 cities with 4 banks. Users can transact using a digital wallet. Token-based CBDC with UPI-like experience. Expanded to 15 cities by 2023.
1 December 2022
Digital Rupee (e₹) wholesale pilot launches
RBI launches the Digital Rupee wholesale pilot (e₹-W) with 9 banks for interbank settlement. Uses blockchain-like technology but is centrally controlled.
1 July 2022
1% TDS on crypto transactions starts
Section 194S takes effect. 1% TDS deducted on all crypto transactions above ₹10,000. Exchanges implement automatic deduction. Trading volumes on Indian exchanges drop 70-90% as traders move to foreign platforms.
1 April 2022
30% VDA tax takes effect
Section 115BBH takes effect for FY 2022-23. All crypto profits taxed at 30% flat rate. No loss offset allowed. Only cost of acquisition is deductible.
1 February 2022
Union Budget introduces 30% crypto tax
Finance Minister Nirmala Sitharaman announces 30% flat tax on Virtual Digital Assets (VDA) profits and 1% TDS on transactions above ₹10,000. No deduction for losses. India becomes one of the first major economies to formally tax crypto.
23 November 2021
Crypto bill relisted with new stance
Government relists the crypto bill for Winter Session with updated language — "to prohibit all private cryptocurrencies with certain exceptions." PM Modi chairs meeting on crypto regulation.
29 January 2021
Crypto ban bill listed in Parliament
Government lists "The Cryptocurrency and Regulation of Official Digital Currency Bill, 2021" for introduction in Parliament. The bill aims to ban private crypto and create a framework for the Digital Rupee. Not introduced.
4 March 2020
Supreme Court overturns RBI ban
In Internet and Mobile Association of India v. RBI, the Supreme Court strikes down the 2018 banking ban as unconstitutional, ruling it was disproportionate. Banks can now service crypto businesses again.
22 July 2019
Garg Committee recommends ban
Inter-ministerial committee submits report recommending a complete ban on private cryptocurrencies with a ₹25 crore fine and up to 10 years imprisonment. Also recommends exploring a government-backed digital rupee.
6 April 2018
RBI bans banks from crypto dealings
RBI circular prohibits all regulated entities (banks, payment processors) from providing services to individuals or businesses dealing in virtual currencies. Exchanges switch to P2P and crypto-to-crypto trading.
2 November 2017
Government forms inter-ministerial committee
Finance Ministry constitutes an inter-ministerial committee under Secretary (Economic Affairs) Subhash Chandra Garg to study issues related to virtual currencies and propose regulatory action.
1 February 2017
RBI reiterates crypto concerns
RBI issues another cautionary notice about risks of trading in virtual currencies. No ban, but heightened warnings to the public.
24 December 2013
RBI issues first crypto warning
Reserve Bank of India issues a press release cautioning users, holders, and traders of Virtual Currencies (VCs) about potential financial, operational, legal, and security-related risks.
Frequently Asked Questions
Is cryptocurrency legal in India in 2026?
Yes. The Supreme Court overturned the RBI's 2018 banking ban in March 2020. Cryptocurrency is legal to buy, sell, hold, and trade. It is taxed at 30% flat rate with 1% TDS. Exchanges must register with FIU-IND. However, crypto is not legal tender — only the Indian Rupee is.
Is there a crypto ban in India?
No. The only ban (RBI's 2018 banking restriction) was struck down by the Supreme Court. The government chose taxation (30% + 1% TDS) over prohibition. Multiple bills proposing bans were never introduced. India pushed for global crypto regulation (not ban) during its G20 presidency.
What is the RBI's current stance?
The RBI remains cautious about private cryptocurrency but participates in the multi-regulator framework. RBI's focus is on the Digital Rupee (e₹) CBDC. Governor has warned about crypto risks but acknowledged it cannot be banned effectively. RBI handles stablecoin/payment token regulation.
Do crypto exchanges need FIU registration?
Yes. Since March 2023, all VDASPs must register with FIU-IND and comply with PMLA anti-money laundering rules. CoinDCX and other Indian exchanges are registered. Foreign exchanges (Binance, KuCoin) also obtained registration to serve Indian users.
Last updated: 2026-03-21
