The Financial Action Task Force (FATF) has advised India to bolster its regulation of virtual assets. This recommendation is part of the FATF's assessment of India's anti-money laundering and counter-terrorist financing framework. The FATF recognized India's progress in combating money laundering but emphasized the need for enhancements in non-banking and virtual asset regulation. The FATF noted that India's expanding economy and financial system necessitated these improvements. The FATF's recommendation serves as a reminder of the increasing global scrutiny of virtual assets. Governments and regulatory bodies worldwide are grappling with the challenges posed by this emerging asset class. India's response to the FATF's recommendation will reflect its commitment to addressing financial risks and safeguarding its financial system.