Sign Up on MEXC
Highlights
- OKX crypto exchange is gearing up to exit India.
- The move comes amid increased regulatory scrutiny over foreign crypto exchanges in the country.
- OKX advised customers to initiate withdrawals before the ye specified deadline.
The OKX cryptocurrency exchange has announced its decision to cease operations in India. This decision comes nearly three months after the Financial Intelligence Unit (FIU) of India’s Ministry of Finance cracked down on crypto exchanges. The FIU had issued compliance notices to nine foreign cryptocurrency exchanges and banned their URLs.
OKX Shuts Down Services In India
In a notice sent to Indian users on Thursday, March 21, OKX urged its customers to close their accounts and redeem funds before April 30. To justify the action, the CEX cited local regulatory hurdles as the primary reason behind the decision. The notice stated: “We regret to inform you that OKX is no longer providing services to users in India.”
Therefore, OKX users in India were instructed to close all margin positions, perpetuals, futures, and options. In addition, they were urged to redeem funds from Grow products like Earn, Loan, and Jumpstart before the deadline of April 30 at 12 a.m. ET.
Furthermore, OKX customers are also advised to expedite the withdrawal of their funds before the deadline to avoid any losses. Moreover, the OKX exchange assures users that their funds will remain safe and available until withdrawn.
OKX’s decision to exit the Indian market reflects the challenges posed by evolving regulatory frameworks and heightened enforcement measures. The exchange had applied for a new registration process with stringent Know Your Customer checks following a block on its website and application in January. However, OKX’s notice to users indicates that the exchange failed in attaining a successful registration.
Also Read: Coinbase Warns of Base Network Congestion, High Fee Menace
About FIU’s Crackdown On Overseas Crypto Exchanges
The FIU’s actions against foreign crypto exchanges began in late December 2023. The regulatory body sent notices to prominent platforms such as Binance, Gate.io, Kucoin, Huobi, and others. The FIU accused these exchanges of “operating illegally” in India through offshore entities. Hence, notices were issued under Section 13 of the Prevention of Money Laundering Act, 2002.
This move brought virtual digital asset service providers under the scrutiny of Anti Money Laundering/Counter Financing of Terrorism (AML-CFT) framework. Explaining the reason behind these notices, the FIU highlighted the failure of these companies to fulfill reporting obligations to the government despite being compliant with Indian law.
Moreover, FIU requested the Ministry of Electronics and Information Technology (MEITY) to block the websites of the notified crypto exchanges within two weeks. Moreover, in January 2024, the website URLs and apps of Binance, OKX, KuCoin and others were blocked. In addition, the crypto exchange apps also disappeared from the Google Play Store and Apple App Store.
Also Read: Giggle Academy: Former Binance CEO CZ Launches New Project
- REX-Osprey Dogecoin and XRP ETFs Set to Launch September 18
- Coinbase’s Base Explores Issuing Network Token to Power ‘Global Economy’ Push
- Trump Urges Powell to Make a Larger Fed Rate Cut Ahead of FOMC Meeting
- Breaking: PayPal to Integrate Bitcoin, Ethereum, PYUSD In New P2P Payments System
- Tom Lee’s BitMine Boosts Ethereum Treasury by $1.87B, Now Holds 2.151M ETH
- Solana Price Prediction: Analyst eyes $1,250 as Galaxy Digital and Forward Industries Intensify Accumulation
- Trump Coin Price at Risk of a 16% Dive as Open Interest, Whale Selling Intensify
- Hype Price Prediction Gains Momentum — Is USHD Launch the Fuel for $72 Target?
- Bitcoin Price Prediction: Q4 Rally Looms as ETF Inflows Hit $642M—Analyst eyes $150K
- Pepe Coin Price Prediction as the Token Jumps Nearly 20% – Will Whale Accumulation Take it to $0.00003?
