Is OKX Legal in India? Is OKX Safe?
Choosing a trustworthy cryptocurrency exchange is crucial as it directly impacts the safety and security of your digital assets. The high risk of scams in this area necessitates extreme caution from users.
Our analysts have noticed a growing interest in OKX services among users in the India. However, questions remain regarding its safety and legal status within the India. Traders Union experts have addressed this concern by crafting a detailed review that explores both the pros and cons of using OKX.
So, let us tell you if OKX is allowed in the India and if it's safe to use for trading.
Is OKX legal in India? Does it have a license?
OKX is a regulated exchange that provides services in most countries worldwide, except for those under international sanctions, such as North Korea, Iran, Syria, Cuba, and regions like Crimea, Donetsk, and Luhansk. Restrictions may also apply based on requests from local regulators. We compared OKX's level of regulation with the top two global competitors and the top two competitors available in your country. Exchanges with Tier-1 regulation are generally considered the safest. However, OKX's safety level is also influenced by other factors outlined below.
| OKX | Bybit | MEXC | |
|---|---|---|---|
Government-regulated |
Yes |
Yes |
No |
Tier-1 regulation |
No |
Yes |
No |
U.S regulation |
No |
No |
No |
FCA U.K |
No |
No |
No |
AUSTRAC in Australia |
No |
No |
No |
DFSA in UAE |
No |
No |
No |
AMF in France |
No |
No |
No |
Spain |
No |
No |
No |
Germany |
No |
No |
No |
Singapore |
No |
No |
No |
MFSA in Malta |
Yes |
No |
No |
Seychelles |
No |
Yes |
No |
Other countries |
Austria’s Financial Market Authority (FMA), Georgia, Kazakhstan |
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Open an account |
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Other OKX Security Factors to Consider
| OKX | Bybit | MEXC | |
|---|---|---|---|
2FA |
Yes |
Yes |
Yes |
Verification (KYC) |
Yes |
Yes |
Yes |
Successful hacks |
No |
Yes |
No |
Cold wallet storage |
Yes |
Yes |
Yes |
Investor protection fund |
Yes |
Yes |
No |
Open an account |
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Short summary about the OKX exchange
OKX (aka OKEX) is an international cryptocurrency exchange that has been providing financial services since 2017. On the OKX platform, you can buy and sell cryptocurrencies and earn money by storing tokens and providing funds for margin trading. The cryptocurrency exchange offers over 100 cryptocurrencies such as BTC (₿), LTC (Ł), ETH (Ξ), XRP, etc.), several ways to make passive income, and a base with educational materials.
| 💰 Account currency: | BTC, USDT, ETH, LTC, OKB, BCH, BSV, ETC, USDK, 1INCH, 1ST, AAC, AAVE, and other cryptocurrencies |
| 🚀 Minimum deposit: | 0.00005 BTC / 0.00000001 USDT |
| ⚖️ Leverage: | Margin trading is available |
| 💱 Spread: | $0.1 |
| 🔧 Instruments: | Cryptocurrencies |
| 💹 Margin Call / Stop Out: | No |
OKX Pros and Cons
👍 OKX Pros:
•The availability of various investment programs.
•Proprietary educational academy with useful materials.
•Wide range of cryptocurrencies.
•The exchange is multilingual and available in 20 languages.
•A mobile app is available.
•The exchange uses cold and hot wallets with a high-security level.
•The company offers cryptocurrency listing services.
👎 OKX Cons:
•Trading and depositing in fiat currencies are not available.
•Few ways to contact client support
•The company is unlicensed and unregulated.
Rules and Regulation
Licensing in India
Cryptocurrencies are not legal payment methods in India and the country does not regulate cryptocurrency activities. In December 2023, the Financial Intelligence Unit – India issued warnings to Binance, HTX, Kraken, Gate.io, KuCoin, Bitstamp, MEXC Global, Bittrex, and Bitfinex about their illegal activities in the country and, as soon as in January, blocked the websites of large crypto platforms.
Investor protection in India
Crypto traders in India are not protected by law.
Taxation in India
On April 1, 2022, the Finance Bill that includes taxation of digital assets came into effect in India. Any transactions with cryptocurrencies and NFTs are subject to a 30% tax and a 1% Tax Deducted at Source (TDS).
Do I recommend using OKX in the India?
The OKX cryptocurrency exchange can certainly be recommended for traders from India. The platform is well suited for trading cryptocurrencies. Despite that the company does not have a financial license, as this kind of activity is not subject to licensing in India in general, the exchange has a good reputation. The company’s team has developed reliable account protection and closely monitors the security of the platform.
FAQ
Can I work with crypto exchanges considering that they don’t have a license in India?
The fact that a crypto exchange does not have a license doesn’t mean that traders from India will have problems while working with it. Cryptocurrency exchanges are not subject to licensing in many countries, while there are many exchanges with good reputation. Assess the available information about the exchange and check its reputation.
What security methods for account protection do crypto exchanges employ?
Cryptocurrency exchanges may offer various security methods. These include the two-factor authentication, first and foremost, and also such methods as a security question, additional passwords, etc.
Can an exchange that has had a security-related incident in the past be trusted?
You need to check whether such incidents were regular. If it was one episode several years ago, while the reputation of the exchange is good, you can work with such an exchange.
Should I work with an exchange if I have doubts about its reputation?
No. Always choose the cryptocurrency exchanges that have a good reputation.
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Team that worked on the article
Mikhail Vnuchkov joined Traders Union as an author in 2020. He began his professional career as a journalist-observer at a small online financial publication, where he covered global economic events and discussed their impact on the segment of financial investment, including investor income. With five years of experience in finance, Mikhail joined Traders Union team, where he is in charge of forming the pool of latest news for traders, who trade stocks, cryptocurrencies, Forex instruments and fixed income.
Dr. BJ Johnson is a PhD in English Language and an editor with over 15 years of experience. He earned his degree in English Language in the U.S and the UK. In 2020, Dr. Johnson joined the Traders Union team. Since then, he has created over 100 exclusive articles and edited over 300 articles of other authors.