• 13 July, 2024
News

Bitget Pursues VASP License to Strengthen Compliance in Indian Crypto Market

Cryptocurrency exchange Bitget has announced that it is in active discussions with India’s Financial Intelligence Unit (FIU) to secure a Virtual Asset Service Provider (VASP) license. In a recent series of X posts, Bitget reiterated its commitment to the Indian market, assuring users of the safety and security of their funds. The company also emphasized the value of its Indian user base and its dedication to maintaining a compliant and robust platform for trading digital assets.

Bitget’s Vision for the Indian Market

Bitget is keen on positioning itself as a leading and compliant player in the global crypto market. Simran Alphonso, Head of Global Communications at Bitget, emphasized the exchange’s commitment to operational transparency, user protection, and educational initiatives. Alphonso stated,

Securing a VASP license is crucial for us to enhance user trust, offer dispute resolution, and collaborate with civil authorities to combat fraudulent activities.

Bitget’s Current Limitations in India

Despite Bitget’s operational presence in India, the absence of a VASP license presents several challenges. According to Alphonso, the exchange has encountered difficulties in onboarding new users, largely due to restrictions on app availability in major digital stores like Google Play and the App Store. While existing users can access the app and its features, potential new users face hurdles in joining the platform.

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India’s Crypto Regulations

India’s approach to cryptocurrency regulation has been dynamic, with significant efforts to curb illicit activities and ensure market integrity. The FIU, part of the Ministry of Finance, plays a key role in this regulatory framework, focusing on compliance with anti-money laundering (AML) laws and ensuring that exchanges adhere to stringent Know Your Customer (KYC) requirements.

Crypto Platforms Awaiting to Restart Services in India

Recent actions by the FIU highlight the government’s commitment to tightening control over the crypto industry. In December 2023, the FIU issued show-cause notices to nine offshore cryptocurrency exchanges, including Binance, Kraken, and KuCoin, for operating without compliance with Indian laws. This led to the blocking of their URLs and the removal of their apps from digital marketplaces.

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