Indian Crypto Regulations: What You Need to Know in 2025

When it comes to Indian crypto regulations, the legal framework governing cryptocurrency use, trading, and taxation in India. Also known as crypto laws in India, it’s a mix of strict oversight, unclear enforcement, and surprising openness. Unlike countries that banned crypto outright, India never made it illegal—but it didn’t make it easy either.

At the heart of this is the RBI crypto policy, the Reserve Bank of India’s stance on banks dealing with crypto businesses. In 2018, the RBI blocked banks from serving crypto exchanges. That ban was overturned by the Supreme Court in 2020, but the damage stuck. Even today, many banks treat crypto users with suspicion. Getting a bank account for a crypto business? Still a nightmare. Meanwhile, the crypto taxation India, a 30% tax on crypto gains and a 1% TDS on every trade. This isn’t just about revenue—it’s a signal. The government wants to track every transaction, not ban it. If you’re buying, selling, or swapping crypto in India, you’re being watched. And if you don’t report it, you’re risking penalties.

Then there’s the crypto exchange India, the platforms where Indians trade Bitcoin, Ethereum, and altcoins. Major ones like WazirX, CoinSwitch, and ZebPay operate legally—but only because they follow KYC rules. No anonymous trading here. You need your ID, address proof, and PAN card. Some users try to bypass this with P2P platforms or VPNs, but that’s risky. The government is cracking down on unregistered platforms. And if you’re thinking of starting a crypto business? You need a license. The 2025 crypto business compliance checklist applies here too: AML, KYC, cybersecurity, and regular audits aren’t optional.

India’s approach isn’t about stopping crypto. It’s about controlling it. The goal? Bring crypto into the formal economy, collect taxes, and stop money laundering. That’s why the FATF-style rules are tightening. You can still trade. You can still hold. You can even earn interest on crypto through DeFi apps. But you can’t ignore the paperwork. The best move? Keep records. Track every trade. Use tax tools. Don’t assume you’ll get away with silence. The days of crypto being a gray zone in India are over.

Below, you’ll find real stories from people who’ve navigated these rules—what worked, what backfired, and what you should avoid. From exchange reviews to tax traps, these posts cut through the noise. No fluff. Just what matters if you’re in India and holding crypto in 2025.