Financial Supervisory Body of India Fines Binance $2.25 Million for AML Violations

The financial supervisory body of India has taken a strong stance against the largest cryptocurrency exchange, Binance, by imposing a hefty fine of 188.2 million Indian rupees (US$2.25 million). This decision comes after the exchange was found to be in violation of the Anti-Money Laundering Act in India, as reported by the Financial Intelligence Unit.

The regulator had issued a warning to Binance in December 2023, demanding an explanation for its actions and providing specific instructions to ensure compliance with India’s anti-money laundering laws. This move is part of India’s increased scrutiny of major cryptocurrency exchanges, including global giants like Binance and Huobi, as the country implements the AML-CFT framework to combat illegal activities in the cryptocurrency market.

In response to regulatory crackdowns, Binance has reportedly taken innovative measures to bypass restrictions in India, creating alternative URLs to allow Indian customers to access the platform without the need for a VPN. This move was highlighted by crypto influencer Keyur Rohit, who shared screenshots confirming the legitimacy of the new URLs linked to the cryptocurrency exchange.

It is important to note that investing or trading cryptocurrencies carries a risk of financial loss, and the views expressed in this article are for informational purposes only. The actions taken by the Indian financial supervisory body against Binance reflect the growing regulatory challenges faced by cryptocurrency exchanges operating in the country.