One of the leading cryptocurrency exchanges, KuCoin, announced its latest groundbreaking milestone as it became India's first FIU-compliant global crypto exchange. The news follows just days after fellow exchange OKX announced it would retire its services in India.
KuCoin, one of the leading crypto exchanges, ranked in the top seven worldwide, announced in a press statement its groundbreaking milestone as the first FIU-compliant global crypto exchange in India.
KuCoin Secures Its Regulatory Status While OKX Retreats
The exchange’s announcement marks a critical step in the evolving Indian crypto landscape, and the country is undergoing several regulatory changes. In its press release, KuCoin said the move “underscores KuCoin's dedication to expanding its presence in vital global markets as part of its comprehensive global strategy.”
With headquarters in Seychelles, the exchange offers its customers a user-friendly platform that focuses on inclusiveness and community action reach. The exchange currently offers over 800 digital assets. It provides Spot trading, Margin trading, P2P fiat trading, Futures trading, staking, and lending services to over 30 million registered users in more than 200 countries and regions.
KuCoin's decision was spurred by the Indian government’s recent crackdown on the apps of nine major cryptocurrency exchanges, including Binance, OKX, KuCoin and Kraken.
In December 2023, the Indian Financial Intelligence Unit (FIU), which oversees suspicious financial activity in India, said the exchanges failed to register with the agency and did not comply with national AML and anti-terrorist financing regulations.
According to the FIU, exchanges providing services to Indian customers must register as a “reporting entity.” After allegedly failing to do so, the FIU asked the Ministry of Electronics and Information Technology to block these websites over non-compliance. Following the FIU’s stance, crypto exchange OKX terminated its services in India.
Following in accordance with the FIU’s demands, Apple removed the apps of nine crypto exchanges from its App Store, and Google quickly followed suit by removing the apps from its Google Play Store.
KuCoin Proposes to Undertake Initiative to Serve Local Indian Users Better
To remain compliant with the FIU’s demands, KuCoin published a list of initiatives it will undertake to better serve local Indian users.
The list reads:
- “Localized Payment Solutions: Collaborating with local banks and fiat partners to introduce unique and direct on-ramp and off-ramp services tailored for India. Meanwhile, KuCoin is also proposing to launch a partnership enrollment program to welcome more partners onboard and provide easier and more friendly service.
- Strategic Investment Focus: Promoting investment and support for blockchain projects led by entrepreneurs with an India focus, aiding the sustainable growth of the local crypto ecosystem.
- Regulatory and Security Alliances: Continuing to support regulatory and Government authorities to promote a secure and regulated industry landscape.
- Partnerships for Education and Ecosystem: Partnering with educational institutions through KuCoin Campus to foster blockchain understanding and offer access to KuCoin's Web3, technology, and ecosystem resources, thereby nurturing the blockchain industry's development in India.
- Glo-cal Strategy and Team Localization: Establishing a dedicated, localized team to better understand and serve the specific needs of Indian investors and users. Going "Glo-cal" underscores KuCoin's priority as going global with a localization focus.”
KuCoin’s CEO, Johnny Lyu, commented:
“KuCoin places utmost importance on user asset security. By successfully completing this registration in India, we are set to enhance the Indian users' experience and reaffirm our dedication to compliance and security. This milestone allows us to advance the conversation on crypto adoption in India, emphasizing user security and trading excellence. Additionally, it accelerates our investment and educational initiatives in India, aiming to stimulate industry growth and foster the blockchain landscape's sustainable development.
We are eager to support local innovation and build enduring educational partnerships to contribute significantly to India's blockchain ecosystem. With this development, we at KuCoin welcome partners to join us, and promote the development of the cryptocurrency industry in India"
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
