Regulatory crackdown: 15 digital asset exchanges ordered to remove apps in India

The Indian Financial Intelligence Unit has taken decisive action against fifteen virtual digital asset service providers that ignored the nation’s PMLA obligations. In a statement issued on September 9, the FIU‑India Director, serving as the nodal officer under the Information Technology Act, directed each platform to delete its mobile applications and web links from public platforms until full compliance is achieved.

The notice names the following companies: VIX, Blowfin, RezoRex, Bitunics, DigiFinance, TwoBit, XT.com, Latoken, WU X, PaxNix, Change Now, Simple Swap, FixedFloat, WhiteBIT and Guardian. These providers were operating without the mandatory registration with FIU‑India, a step required for any entity that facilitates fiat‑to‑crypto conversion, digital‑asset transfers, custody or admin services.

Since March 2023, the PMLA and the anti‑terrorism financing framework have applied to all VDASPs working in India, regardless of where the business is physically located. Registered providers must comply with reporting, record‑keeping and other AML duties.

The ministry reiterated that crypto assets and non‑fungible tokens lack regulatory oversight in India, warning investors of the high volatility and the absence of any legal protection against potential losses.