Coinbase in talks to re-enter Indian market
Coinbase in talks with Indian regulators for potential market return.
Coinbase is in talks with Indian regulators as it considers reentering the market after halting operations in 2023.
The US-based cryptocurrency exchange has engaged with India’s Financial Intelligence Unit (FIU) to explore regulatory compliance and pave the way for renewed market participation.
Regulatory Engagement for Market Reentry
Coinbase’s renewed interest in India comes as part of broader efforts to navigate the country’s strict stance on offshore crypto exchanges. The FIU, after imposing restrictions on several foreign platforms in late 2023, has since registered Binance and KuCoin following penalty collections in May 2024. This regulatory shift suggests a potentially more favorable environment for Coinbase, which previously discontinued services in India in September 2023 and halted its United Payments Interface (UPI) service in April 2022 due to lack of regulatory recognition of crypto-related transactions.
Strengthening US-India Crypto Ties
Coinbase Chief Legal Officer Paul Grewal has joined the global board of directors of the US-India Business Council (USIBC), signaling a commitment to enhancing financial innovation and strengthening ties between the two countries. “I’m honored to join the USIBC Board to help strengthen the bridge between India and the US in shaping the future of finance,” Grewal said in a statement, highlighting India’s rapid growth in the Web3 space. According to Grewal, India’s share of global Web3 developers has quadrupled since 2018 to 12%, marking the nation as one of the fastest-growing emerging markets in digital finance.
These developments may provide Coinbase with a pathway to reenter India by addressing regulatory concerns head-on and leveraging new cross-border partnerships. With additional offshore exchanges under review for approval, Coinbase’s proactive engagement could help unlock new growth opportunities in one of the world’s largest crypto markets.
Recently we wrote, that a pivotal moment is approaching in the ongoing legal battle between Coinbase and the U.S. Securities and Exchange Commission (SEC).
