Indian Crypto Investors Exit Binance After PAN Card KYC Requirement
In a significant shift, many Indian cryptocurrency investors are withdrawing funds from Binance after the platform made PAN card verification mandatory for all users. This move is in compliance with India’s financial regulations, but it has raised concerns among users.
Why Are Investors Leaving?
Binance recently announced that Indian users must complete identity verification by linking their PAN card by April 20, 2025, or face temporary restrictions, including limits on trading and withdrawals. Many investors are worried about increased scrutiny from tax authorities and its impact on their crypto holdings.
Impact on the Crypto Community
As a result, many Indian traders are migrating to exchanges that don’t require PAN verification, or are opting for decentralized wallets to avoid the mandatory KYC process.
Legal Compliance
This move follows Binance’s agreement with India’s Financial Intelligence Unit (FIU-IND) in 2024, which led to the introduction of new KYC policies to comply with anti-money laundering laws.
What Should Investors Do?
Investors have until March 31, 2025, to decide whether to comply with the new rules or withdraw their funds. Experts advise staying updated on the changes and exploring alternative exchanges if needed.
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