India recently took measures to block access to several offshore crypto exchanges, including Binance, Kucoin, OKX, Gate.io, and others. This decision followed the removal of these platforms from both the Apple App Store and Android Play Store in the country. The move came after the finance ministry issued show-cause notices on December 28, accusing these platforms, including Binance, Kucoin, Houbi, Kraken, Gate.io, Bittrex, Bitstamp, MEXC Global, and Bitfinex, of operating illegally in India by not complying with local money laundering laws and tax regulations.
As a response to these allegations, the finance ministry instructed the information technology ministry to block the URLs of these platforms, resulting in the recent website restrictions. Although users can still access these exchange websites through VPNs, it's essential to note the associated risks. Binance has specifically warned against using VPNs, as this could potentially expose users to hacking threats.
Binance sought to reassure its Indian users by sending an email, clarifying that the restrictions only impact users attempting to access the Indian iOS app store, play store, or the Binance website directly from India. Existing users with the Binance app are reportedly unaffected by the restrictions. Binance emphasized its commitment to complying with local regulations, actively engaging with regulators to ensure user protection, and contributing to the development of a robust Web3 industry.