Crypto Asset Regulation in India: What You Need to Know Now

When it comes to crypto asset regulation in India, the official stance from government bodies like the Reserve Bank of India and SEBI that defines how digital currencies can be bought, traded, and taxed. Also known as cryptocurrency legal framework India, it’s not a ban—it’s a complex web of rules that shifts every few months. If you’re holding Bitcoin, Ethereum, or any altcoin in India, these rules directly impact your wallet, your taxes, and your ability to move money.

India’s approach to crypto isn’t black and white. The Reserve Bank of India, the country’s central bank that once blocked banks from serving crypto exchanges but now quietly allows transactions under strict reporting. Also known as RBI crypto policy, it doesn’t outlaw crypto—but it doesn’t protect you either. Meanwhile, the Securities and Exchange Board of India, the market regulator that’s starting to treat certain tokens as securities and pushing for exchange licensing. Also known as SEBI crypto guidelines, it’s quietly building the infrastructure to monitor trading, prevent fraud, and collect taxes. These two agencies are pulling crypto into the formal financial system, whether users like it or not.

Then there’s the tax side. The Indian government slapped a 30% tax on crypto gains in 2022, with no deductions for losses. Plus, a 1% TDS kicks in on every trade over ₹10,000. That means even if you break even, you still pay tax on the transaction. This isn’t just about revenue—it’s about tracking. Every exchange operating in India now reports your activity to the tax department. If you’re using a foreign platform, you’re still required to declare it. Ignoring this isn’t an option anymore.

What’s missing? Clear rules on staking rewards, DeFi lending, and NFTs. Right now, the tax department treats them as income, but there’s no official guidance on how to value them. And while some exchanges like Blockchain.com and HTX let Indians trade, they’re not licensed by SEBI. That means if something goes wrong—like a hack or a rug pull—you have no legal recourse. The system is still a gray zone: legal to own, legal to trade, but risky and heavily monitored.

India isn’t shutting down crypto—it’s trying to control it. The goal? To stop money laundering, bring in tax revenue, and protect retail investors from scams like Bullit or WOR tokens that have no real team or code. The posts below show you exactly what’s happening: how regulators are watching, how exchanges are adapting, and how real people are navigating this messy system. You’ll find reviews of platforms that work in India, breakdowns of tax traps, and warnings about scams that still target Indian users. This isn’t theory. It’s what’s happening right now—with real money on the line.