Bitget, a major cryptocurrency exchange, is collaborating with Indian regulators to secure the necessary licensing to operate in the market in accordance with local regulations. The company announced on July 3 that it is actively engaging with India’s Financial Intelligence Unit (FIU) to obtain Virtual Asset Service Provider (VASP) registration.
Simran Alphonso, Bitget’s head of global communications, explained that securing this registration would ensure compliance with tax laws and operational transparency. This registration would also allow the exchange to host meetings, engage with the community, and conduct educational initiatives, making Bitget more reliable and trustworthy.
In addition to these benefits, Alphonso noted that the FIU registration would enhance consumer protection by facilitating dispute resolution, fraud compensation, and support in tracking down scammers. Currently, Bitget operates in India with certain limitations due to the absence of VASP registration, hindering its ability to sign up new users.
According to Alphonso, Bitget is optimistic about serving the Indian market, emphasizing its high priority for the company. This effort to improve compliance in India comes after Binance and KuCoin paid penalties and obtained VASP approvals from the FIU in May 2024. The approval restored these companies’ legal status in India following compliance issues and noncompliance notices.
In December of the previous year, Apple’s App Store in India blocked several crypto exchange apps, including Binance, KuCoin, Bitget, Huobi, OKX, Gate.io, and MEXC due to compliance issues. KuCoin reportedly paid a penalty of $41,000 and resumed operations in May 2024, while the FIU imposed a $2.25 million fine on Binance for servicing Indian clients without adhering to local Anti-Money Laundering rules.
Alphonso mentioned that other global exchanges, such as KuCoin and Binance, have paid penalties and are in the process of completing registration to fully restore their services. Bitget has also applied for registration and is currently in discussions with regulators to secure the necessary approvals.