Indian Parliament to meet Binance, WazirX over crypto rules

India’s Parliamentary Standing Committee on Finance is set to meet representatives from Binance, WazirX and ZebPay as lawmakers examine the future of crypto regulation, taxation and compliance in one of the world’s largest digital asset markets. The move to bring major digital asset firms into direct discussions on India’s crypto regulation has triggered criticism on social media.

The high-level discussions, scheduled for 20 May at the Parliament House Annexe in New Delhi, will focus on ‘A Study on Virtual Digital Assets (VDAs) and Way Forward,’ bringing India’s crypto policy back into sharp focus for exchanges, regulators and investors. The meeting comes as India’s crypto sector remains heavily taxed and active, but continues to operate without a comprehensive regulatory framework.

Crypto exchanges to appear before India Finance Panel

According to a notice issued by the Lok Sabha Secretariat, as reported by Crypto News, the first session will run from 11:00 a.m. to 12:30 p.m., with representatives from Binance, WazirX and ZebPay expected to appear before the parliamentary committee.

Lawmakers are expected to hear from the exchanges on issues including market operations, compliance standards, investor protection and the impact of India’s crypto tax regime.

The session marks a direct engagement between Indian lawmakers and three of the best-known crypto platforms serving Indian users, at a time when policymakers continue to debate how digital assets should be regulated beyond taxation. India currently treats cryptocurrency as a taxable asset class but has yet to introduce a full legal framework governing the sector.

India crypto regulation debate moves beyond taxation

India’s crypto industry has long argued that taxation alone cannot serve as a substitute for regulation. The government currently imposes a 30 per cent tax on gains from virtual digital assets, while a 1 per cent tax deducted at source (TDS) applies to crypto transactions, measures that industry participants say have affected domestic trading volumes. Despite these tax rules, lawmakers have moved slowly on broader crypto legislation.

🇮🇳 India's Parliamentary Finance Panel is set to meet Binance, WazirX and ZebPay tomorrow to discuss the future of crypto regulation

This could be a defining moment for the country’s digital asset ecosystem. Clear policies have the power to unlock innovation, attract global… pic.twitter.com/KVTvg0KEHY

— Mangal (@Huiducoin) May 20, 2026

Minister of State for Finance Pankaj Chaudhary previously told Parliament that the government had no fixed timeline for finalising crypto rules, citing the borderless nature of digital assets and the need for international coordination. That uncertainty has left exchanges navigating a patchwork of tax rules, anti-money laundering obligations and financial intelligence reporting requirements.

Regulators and government officials set to participate

The second session, scheduled from 12:30 p.m. to 1:30 p.m., will include oral evidence from representatives of the International Financial Services Centres Authority (IFSCA).

A final session from 2:00 p.m. onwards will include officials from the Ministry of Finance’s Department of Revenue and the Ministry of Corporate Affairs, expanding discussions beyond exchanges to include regulatory and policy stakeholders.

The wider structure of the hearings suggests lawmakers are reviewing crypto policy from multiple angles, including taxation, compliance, financial oversight and sector regulation.

Investor protection and compliance in focus

The parliamentary discussions may also revisit issues related to financial crime, exchange accountability and investor safeguards, areas that have remained central to India’s crypto policy debate. India’s crypto market continues to operate under a mix of taxation measures and compliance requirements, but industry participants have repeatedly called for clearer rules covering exchange registration, consumer protection and operational standards.

Recent court developments have also added to the legal discussion around digital assets in India, with Indian courts increasingly weighing in on questions of crypto ownership and dispute resolution. While the 20 May committee meeting is unlikely to produce immediate regulation, it could help shape what India’s next Virtual Digital Assets framework should include, from tax reform and compliance duties to investor protection and exchange oversight.

Tightening scrutiny as adoption grows

Last month, India’s Income Tax Department began issuing notices to investors who failed to report crypto activity in previous financial years. The move was aimed at improving control over Virtual Digital Assets (VDA) and ensuring that all taxable income is accurately disclosed.

Meanwhile, India ranked first in cryptocurrency adoption for 2025, according to the sixth Chainalysis Global Crypto Adoption Index. The country led in all measured categories, including retail and institutional flows. The US came in second, and its rise is linked to higher institutional involvement following the approval of spot bitcoin ETFs. Pakistan, Vietnam, and Brazil complete the top five.