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Over 72 percent of trade volume in India’s bitcoin business moved to offshore exchanges in FY25, rather than disappearing. The shift was driven by tax regulations, which encouraged traders to look for simpler options abroad rather than by hype or crashes. A survey released on 29 January by crypto tax compliance platform KoinX revealed this trend.
Indian traders generated nearly Rs 51,252 crore in crypto trading volume, but much of it shifted from domestic exchanges to offshore platforms. The market is largely driven by retail participants, who are quick to adjust their behaviour when transaction costs rise, with tax burdens pushing many to seek alternatives outside India.
In FY25, more than 72 percent of India’s crypto trading volume took place on offshore exchanges, marking a significant shift in where activity occurs. The analysis, based on data from over 670,000 users across FY24 and FY25, shows a clear pattern of traders moving away from domestic platforms and highlights how behaviour has changed at scale.
Due to tax regulations that apply to all transactions, regardless of profit or loss, Indian cryptocurrency traders relocated abroad in FY25. For regular traders in particular, the 1 percent TDS on every sell order caused ongoing frustration. While offshore platforms offered more seamless execution and continuous trading without frequent deductions or capital lock-ups, domestic exchanges also saw less liquidity, which increased slippage.
The existing cryptocurrency tax system in India levies a 1 percent TDS on each transaction, which reduces liquidity and makes frequent trading costly. Additionally, traders pay full tax on profits even if they experience losses elsewhere, because gains are taxed at 30 percent without the ability to offset losses.
Our Year-End Report for Indian Crypto Tax FY 2024–25 is now LIVE.
We derived insights from ₹70,000+ Cr in user trading volume.
Here Are The Key Highlights:
1) KoinX users alone paid ₹130+ Cr in crypto TDS (over 25% of India’s total).
2) ₹38.52 Cr was over-collected as TDS… pic.twitter.com/qplAJufSSU
— KoinX (@getkoinx) January 29, 2026
In FY25, Indian crypto traders saw profits of about Rs 6,394 crore but also losses of Rs 4,781 crore across different types of trades, showing how volatile the market can be. Despite overall net losses of more than Rs 1,100 crore, they still paid around Rs 180 crore in capital gains tax—tax charged on profits that were later erased, leaving many feeling the system is unfair.
As per report in FY25, crypto TDS collections totalled Rs 511.83 crore, with over a quarter of this coming from a small group of users. Fewer than 5 percent of traders accounted for most of the payments, showing that the burden fell mainly on active participants, while casual users contributed very little.
In FY25, offshore exchanges gained popularity among Indian traders due to their lack of automatic TDS deduction, which reduced the immediate impact on trading activities. These platforms were perceived as providing greater flexibility, enabling traders to manage compliance without the continuous strain of money being depleted on every transaction, even though they were not tax-exempt.
Several global exchanges registered with India’s Financial Intelligence Unit (FIU) to restart services, but this step did little to ease the tax burden. Enforcement remained uneven across platforms, leaving many traders with the impression that offshore exchanges were simpler to use.
Many Indian cryptocurrency traders switched to futures and margin trading in FY25, where efficiency is important but the effects of TDS are more pronounced. Funds were swiftly transferred overseas for active trading, and domestic markets were frequently utilised simply as entry points. This transfer of volume abroad also meant a loss of innovation, data, and tax income at home, while India missed the chance to establish a stronger local ecosystem that could have supported start-ups, jobs, and fintech growth under clearer laws.
Local platforms would become more appealing once again as a result of tax reforms that lessen the burden on traders and contribute to the restoration of liquidity on domestic exchanges. A more equitable structure would promote compliance without alienating individuals. Dependence on offshore exchanges is likely to persist in the short term, but in the long run, clearer regulations could either make India a major participant in the global cryptocurrency industry or keep it on the sidelines.
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A major US crypto regulation bill appears to be in jeopardy after Coinbase withdrew its backing and Senate Banking Committee Chair Tim Scott postponed a key vote, as reported by several media outlets. While the setback has rattled crypto equities, lawmakers and industry leaders insist the legislative fight is far from over.
The Senate Banking Committee was scheduled to vote 15 January (Thursday) on the Digital Asset Market Clarity Act, a sweeping proposal intended to establish clearer rules for cryptocurrency markets. The committee had released a draft of the legislation earlier last week, raising hopes for progress on long-awaited crypto market structure reform.
Those plans unraveled on 14 January (Wednesday) when Coinbase abruptly pulled its support for the bill, prompting Sen. Scott, a South Carolina Republican, to delay the vote. The move followed growing controversy around provisions that would effectively ban most stablecoin rewards, or interest payments, offered by crypto platforms.
Coinbase CEO Brian Armstrong said the company could not support the current draft, citing several concerns in a post on X, including what he described as a “de facto ban” on tokenized stocks and restrictions on decentralized finance. However, the prohibition on stablecoin rewards is widely viewed as the core issue.
Crypto exchanges such as Coinbase argue they should be allowed to pay customers a yield for holding stablecoins on their platforms. Banks strongly oppose that idea, warning it could siphon deposits from the traditional banking system.
As reported by Barron’s, community banks, in particular, have raised alarms. Last month, the Independent Community Bankers of America estimated that allowing interest on stablecoin holdings could reduce community bank deposits by $1.3 trillion and cut lending by $850 billion. Unlike major banks, smaller institutions often lack the scale to issue their own stablecoins.
Under the draft legislation, interest payments would be banned for stablecoins simply held on trading platforms, but rewards could still be earned when the assets are actively used, such as through staking, selling, or posting them as collateral.
With the Senate now entering recess, any Banking Committee vote is unlikely before February. TD Cowen analyst Jaret Seiberg wrote in a research note that the delay benefits banks, as the crypto bill could have served as a legislative vehicle for unrelated measures, including a proposed 10 percent cap on credit-card interest rates recently endorsed by former President Donald Trump.
Still, momentum for crypto regulation has not completely stalled. The Senate Agriculture Committee is advancing separate legislation that would govern crypto “commodities” such as Bitcoin. A committee vote on that bill remains scheduled for later this month.
Recently, US lawmakers submitted more than 75 amendments to the crypto market structure bill ahead of a Senate Banking Committee hearing. The proposals cover issues ranging from stablecoin rules to ethics standards for public officials, according to a document obtained by CoinDesk.
In another recent development, the US Office of the Comptroller of the Currency (OCC) announced that national banks may now act as intermediaries in cryptocurrency transactions. This decision marks a change in how the financial system engages with digital assets. For years, banks maintained a cautious stance towards crypto. The new guidance permits regulated institutions to facilitate crypto trades under established compliance standards, signalling a shift in the relationship between traditional finance and digital currencies.
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India’s relationship with cryptocurrency remains complex, marked by a large user base, regulatory uncertainty, and high taxation. Earlier this month, the Financial Intelligence Unit (FIU) issued updated AML and CFT rules for Virtual Digital Asset (VDA) service providers, tightening compliance requirements and bringing crypto regulation back into focus ahead of the Union Budget 2026. In Budget 2025, the government retained the existing VDA tax framework despite industry appeals for relief, a regime first introduced in Budget 2022 when cryptocurrencies were formally classified as VDAs. Under the Income Tax Act, Sections 115BBH and 194S continue to govern the taxation of cryptocurrencies, NFTs, and other digital tokens.
VDAs include cryptocurrencies such as Bitcoin and Ethereum, NFTs, and other blockchain-based tokens, serving as digital forms of value. In India, their use has grown significantly, with millions involved in trading, investing, and building around them. Despite this growth, regulatory uncertainty and taxation continue to create challenges, leaving adoption strong but progress cautious.
To address the risks of money laundering and illicit financing associated with the cryptocurrency industry, and to bring India into compliance with international standards such as FATF recommendations, FIU-India has updated its AML and CFT guidelines. Stricter KYC standards, customer identification verification, record-keeping, and frequent reporting are among the mandatory compliance criteria that the updated framework imposes on cryptocurrency exchanges and VDA service providers.
Like banks, platforms must also monitor transactions, identify suspicious activity, and carry out regular risk assessments. The regulations reinforce the government’s intention to increase control and accountability in cryptocurrency transactions involving Indian users and apply to any organisation providing VDA-related services to customers in India, including overseas platforms.
The new guidelines aim to strengthen trust and transparency in crypto transactions. Stricter compliance measures can make users feel more secure, while also aligning India’s rules with global standards as countries such as the US, Singapore, and those in the EU tighten oversight. This places India more firmly within the international regulatory framework.
In the 2022 Budget, India introduced a flat 30 percent tax on income from the transfer of VDAs, along with a 1 percent Tax Deducted at Source (TDS) on every transaction, regardless of profit or loss. Additionally, crypto received as a gift is taxed in the hands of the recipient.
Since the 2022 announcements, the crypto industry has seen little change, with no major updates or clarifications in subsequent budgets. This prolonged uncertainty has slowed progress, as start-ups hold back, investors remain cautious, and skilled professionals look overseas. More than taxation, the lack of clarity has become the main barrier to growth.
Frequent traders have found the 1 percent TDS on cryptocurrency transactions burdensome, and many have switched to overseas platforms where these regulations do not apply. Reducing the rate to 0.01 percent would make compliance more feasible, lessen the temptation for users to relocate overseas, and retain oversight while easing the burden.
Unlike most other asset classes, losses from cryptocurrency trades cannot currently be offset against gains, which discourages balanced trading. Additionally, Web3 start-ups want to be able to deduct conventional business expenses such as wages, infrastructure, and office costs, just like other firms.
Indians are thought to have exchanged around ₹5 lakh crore on offshore markets between October 2024 and October 2025, resulting in the outflow of money, jobs, and data. These platforms operate outside Indian jurisdiction, which limits monitoring, weakens grievance redressal, and raises systemic risks, especially during periods of global financial turmoil.
The challenge lies in enforcing laws that ensure safety without obstructing progress. Regulations should act as guardrails to promote innovation and provide structure. Clear support for compliant platforms can reduce the influence of non-compliant participants and eliminate the need for blanket prohibitions.
The VDA sector is seeking clearer regulations in Budget 2026 to reduce uncertainty and provide a solid foundation for expansion. In addition, fairer taxation is considered necessary to encourage compliance, support revenue generation, and enable more sustainable innovation. Leading centres for Web3 development, such as Singapore, strike a balance between innovation and regulation. With its vast talent pool, scale, and rising demand, India has the potential to play a significant role in shaping the global development of digital assets.
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During this week’s EU startup summit, while the Prime Minister of Malta made his way through high-tech expo stands and camera flashes, declining that day to address the press, it was George Gregory, the newly appointed CEO of Malta Enterprise, who was tasked to step forward in his place. It clearly reflected growing trust in Gregory’s ability to represent the country’s economic vision on the public stage.
Cape Town played host to SiGMA Africa 2025, powered by Play’n GO, a landmark event that brought together 2,500 delegates, 150+ speakers, and key players from the iGaming, tech, and digital industries. The summit provided a platform for meaningful discussions on Africa’s regulatory landscape, market opportunities, and the convergence of gaming with blockchain and fintech.
SiGMA Asia 2025 is set to take place from June 1 to 4, 2025, at the SMX Convention Center in the Mall of Asia Complex, Manila, Philippines. Endorsed by PAGCOR, the event brings together industry professionals from across the globe, featuring over 20,000 delegates, 350+ expert speakers, and a wide range of exhibitors from the iGaming, tech, and regulatory sectors.
In the latest episode of the SiGMA Pokerface Podcast, professional poker player, writer, and commentator David K. Lappin joins Ivonne Montealegre, SiGMA Poker Tour Operations Manager, to unpack an 18-year journey from screenwriting to the high-stakes world of poker.
South Korea has introduced new guidelines allowing listed companies and professional investors to trade cryptocurrencies. Several media outlets reported that the government’s 2026 Economic Growth Strategy, which includes stablecoin laws and licencing for spot cryptocurrency ETFs, is in line with this action. It lifts a nine‑year restriction that had left the market dominated by retail investors.
In 2017, South Korea banned corporate participation in cryptocurrency trading due to concerns about money laundering, market manipulation, investor protection, and financial stability. The move left the country’s crypto market dominated by retail investors, who at one point accounted for nearly all trading activity. Meanwhile, institutional capital moved abroad, with an estimated 76 trillion won ($52 billion) leaving Korea for more favourable markets. By contrast, in the US, institutions made up over 80 percent of trading volume on Coinbase in the first half of 2024.
South Korea’s new guidelines allow publicly listed companies and registered professional investment corporations, about 3,500 entities, to trade cryptocurrencies. Firms can invest up to 5% of their equity capital annually, and only cryptocurrencies ranked in the top 20 by market capitalisation on the country’s major exchanges are permitted. This excludes meme coins, micro‑cap projects, and high‑risk tokens, focusing instead on assets with established liquidity and market depth.
Regulators in South Korea are still considering whether stablecoins such as Tether (USDT) will be included, with concerns around currency sovereignty, capital controls, and monetary policy likely to shape strict rules before approval. The government has also announced progress towards approving spot Bitcoin ETFs, which would make cryptocurrency accessible through traditional stock exchanges and allow participation from pension funds, asset managers, and other institutional investors.
South Korea’s new framework requires exchanges to manage risk by breaking large orders into smaller trades, executing them gradually, and monitoring unusual activity. These measures are designed to reduce price volatility, prevent market manipulation, and maintain liquidity.
South Korea’s crypto market has long been dominated by retail investors, leading to volatility and limited risk management. The entry of institutions is expected to bring greater liquidity, professional oversight, and longer‑term strategies. With legal access restored, significant capital could return to domestic markets, supporting growth within the country rather than moving abroad.
There are no investment caps in the US, and major Bitcoin holdings are held by publicly traded firms like Tesla and MicroStrategy, as well as by institutions that actively trade spot assets, ETFs, and derivatives. Japan allows corporations to own cryptocurrency, and companies like Metaplanet have reserves of Bitcoin. The European Union and Hong Kong have introduced regulatory frameworks emphasising transparency, custody standards, and investor protection, but without limits on corporate exposure. South Korea differs by imposing caps, which sets it apart from these markets.
In comparison to other markets, industry leaders contend that South Korea’s 5 percent investment ceiling on corporate cryptocurrency holdings is unduly restrictive, impeding fund inflows and the growth of specialised investment firms. Without more flexibility, Korea can lose out on chances to establish businesses that employ cryptocurrency to increase company value, like MicroStrategy in the United States or Metaplanet in Japan. Opponents warn that as international markets develop, heavy regulation may impede Korea’s advancement.
South Korea’s 2026 Economic Growth Strategy includes cryptocurrency as part of its national plan. In September, the ruling Democratic Party launched a crypto policy task force with the aim of fostering growth in blockchain and digital asset innovation, reflecting the government’s intention to position Seoul as a global centre for the sector.
The FSC is expected to release final guidelines by January or February, with corporate trading set to align with the Digital Asset Basic Act, scheduled for introduction in the first quarter of 2025. If implemented as planned, institutional trading could begin before the end of the year. Over the longer term, the policy is expected to increase institutional liquidity, support the development of financial products, encourage blockchain start‑ups, and strengthen Korea’s global competitiveness.
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Colombia has moved to significantly strengthen oversight of cryptocurrency activity, as the National Directorate of Taxes and Customs (DIAN) introduces mandatory reporting requirements aligned with the OECD’s Cryptoasset Reporting Framework (CARF).
Under Resolution 000240, published on 24 December 2025, crypto exchanges and service providers will be required to disclose detailed user transaction data to the tax authority starting in 2026. The measures are designed to curb tax evasion and bring crypto activity more firmly within Colombia’s formal tax system.
As reported by Cryptopolitan, law firm Holland & Knight said the resolution was issued in compliance with Law 1661 of 2013 and Colombia’s commitments under the Multilateral Agreement for the Automatic Exchange of Information.
The rules require Cryptoasset Service Providers (PSCAs) to report all crypto transactions exceeding $50,000 carried out in Colombia. Providers must also submit detailed information on the type of crypto assets involved in each transaction, alongside identifying data on reportable users.
The regulation defines who qualifies as a reportable person and outlines specific exclusions, while extending obligations to both legal entities and individuals acting as crypto intermediaries.
According to DIAN, the framework aims to prevent the use of crypto assets for tax evasion by expanding automated monitoring of high-value digital asset activity.
Although Resolution 000240 came into force late last year, DIAN has designated 2026 as the first full observation period. Crypto users are therefore advised that all transactions conducted during the year will be recorded by service providers for submission to the tax authority.
DIAN has set May 2027 as the deadline for platforms to submit their first large-scale crypto transaction reports.
Before the new regulations, Colombian taxpayers had to voluntarily disclose cryptocurrency assets on their income tax returns, either as part of their net worth or as sporadic gains. However, self-reporting was a major component of enforcement.
According to Holland & Knight, the new system increases the cost of compliance for both platforms and consumers by switching reporting from voluntary disclosure to automatic inspection.
While the $50,000 threshold applies to transaction reporting, DIAN will also electronically process information related to users’ tax residences and net crypto balances, excluding commissions. This information may be reported even if users do not exceed the transaction threshold.
Holland & Knight warned that retail users should be particularly aware of automatic alerts triggered by high-value transfers. Failure to report transactions accurately, or providing incomplete information, may result in fines of up to 1 percent of the unreported transaction value.
The firm stressed that the strict implementation timeline leaves little room for error, making transparency a legal obligation rather than a best practice.
Holland & Knight has advised crypto users in Colombia to maintain detailed personal records of crypto purchases and sales, including pricing and transaction histories. The firm noted that DIAN may require this information for cross-referencing purposes, particularly to verify the origin of crypto assets.
According to the lawyers, Colombia is closing the gap between tax enforcement and technological innovation, creating a more regulated environment for investors and a clearer pathway for integrating digital assets into the national tax system.
However, all submitted data must comply with rules governing updates to Colombia’s Single Taxpayer Registry, with regulated entities responsible for correcting and retaining records for a prescribed period.
Holland & Knight also cautioned that on-chain activity will no longer be effectively private for Colombian crypto users. Transactions involving assets such as Bitcoin, Ethereum, and stablecoins will now be shared between service providers and DIAN beginning with the 2026 tax year.
The Crypto Council for Innovation has observed that Colombia is accelerating crypto regulation as part of broader efforts to formalise the sector. The country currently ranks 29th globally in crypto adoption, with more than five million Colombians estimated to own digital assets.
Many users rely on platforms such as Wenia, a centralised crypto service incorporated in Bermuda, highlighting the cross-border nature of the compliance challenge facing regulators and service providers alike.
Meanwhile, Argentina is also considering a major policy shift that would allow domestic banks to trade digital assets and offer crypto-related services. The Central Bank of the Argentine Republic (BCRA) is reviewing its current framework, which prohibits banking institutions from participating in digital asset activities.
Elsewhere, the UK Treasury has prepared new legislation that will regulate cryptocurrency markets in the same way as traditional financial products, with the changes expected to come into force in 2027.
Meanwhile, in Hong Kong, Swiss crypto-focused AMINA Bank AG has become the first international bank to receive approval from the country’s Securities and Futures Commission (SFC) to offer institutional crypto trading and custody services, marking a major milestone in the city’s push to attract global digital-asset firms.
Despite a sharp pullback in cryptocurrency prices, industry developments in 2025 may have laid the groundwork for broader mainstream adoption in 2026, according to analysis by The Motley Fool.
Since early October, the total cryptocurrency market capitalisation has fallen from approximately $4.2 trillion to $2.9 trillion, rattling investor confidence amid heightened volatility. However, beneath the price action, the digital asset sector has recorded several regulatory and institutional milestones that were considered improbable just a few years ago.
In the United States, policymakers have moved decisively toward integrating crypto into the financial system. The federal government announced plans to begin holding Bitcoin (BTC) as part of its strategic reserves, while lawmakers passed a comprehensive legislative framework governing stablecoins. At the same time, US financial regulators adopted a more constructive stance, dropping enforcement actions initiated under previous administrations.
Recently, the US Office of the Comptroller of the Currency (OCC) announced that national banks may now act as intermediaries in cryptocurrency transactions. This decision marks a change in how the financial system engages with digital assets.
Bitcoin also reached new all-time highs earlier in 2025, while traditional financial institutions expanded their crypto offerings, introducing new investment products and custody solutions. Together, these developments may position cryptocurrency for wider adoption next year.
One of the most significant catalysts for crypto adoption in 2026 could be the growing role of stablecoins in everyday payments. Stablecoins are blockchain-based tokens pegged to fiat currencies such as the US dollar, enabling near-instant, low-cost transactions across borders. Their adoption accelerated after the Guiding and Establishing National Innovation for US Stablecoins Act, known as the GENIUS Act, became law in July 2025, providing regulatory clarity for banks and payment providers.
With compliance frameworks now in place, stablecoins are expected to evolve beyond their traditional use in crypto trading. A report by McKinsey projects that the value of stablecoins in circulation could rise from $250 billion in 2025 to $2 trillion by 2028, signalling a potential shift toward mainstream payment adoption.
As reported by the Motley Fool, another major trend shaping crypto’s future is the tokenisation of real-world assets (RWAs), which allows ownership of assets such as equities, real estate and intellectual property to be represented on the blockchain.
Tokenisation reduces transaction friction, improves liquidity and lowers barriers to entry by enabling fractional ownership. Industry observers compare its potential impact to the introduction of fractional stock trading, which transformed access to high-priced equities for retail investors.
While regulatory and technological challenges remain, adoption is accelerating. Data from rwa.xyz shows that tokenised real-world assets grew from less than $2 billion at the start of 2024 to more than $18 billion, with nearly half tied to tokenised US Treasuries. Further expansion is expected in 2026 as more asset classes migrate on-chain.
Clearer regulation has also unlocked greater institutional participation in digital assets, particularly through exchange-traded funds (ETFs).
Spot Bitcoin ETFs have rapidly accumulated assets, with total net assets rising from around $30 billion shortly after their January 2024 launch to nearly $125 billion, according to Coinglass data. While Bitcoin’s recent price decline triggered some institutional outflows, analysts suggest long-term capital remains relatively resilient.
A Bernstein report described institutional inflows as “sticky,” indicating they could support new Bitcoin highs in 2026 and 2027. Meanwhile, State Street Investment Management reported that 86% of institutional investors either held or planned to acquire Bitcoin in 2025, a trend expected to continue into next year.
HashKey Holdings Ltd, founded in 2018, set out to integrate digital assets into regulated financial systems. The company positioned itself as a link between traditional finance and the growing digital asset sector in Asia. HashKey provides asset management, brokerage, tokenisation, staking, and over‑the‑counter trading, and operates Hong Kong’s largest licensed cryptocurrency exchange. Its services cater to both institutional and retail investors.
HashKey raised about HK$1.6 billion (approx. $208 million) through its Initial public offering (IPO), pricing shares at HK$6.68 each, near the top of its range. The company became the first cryptocurrency firm to list on the Hong Kong Stock Exchange. The listing highlights that regulated crypto businesses can operate within Hong Kong’s financial framework.
HashKey shares closed at HK$6.67 (approx. $0.87), down 0.15 percent from the offer price. The stock rose as much as 6.6 percent during the session before falling 8.4 percent to its intraday low. The Hang Seng Index rose almost 0.9 percent while HashKey ended flat, highlighting how crypto‑linked stocks are treated differently from ordinary shares. The market’s caution is reflected in the modest performance, which is noteworthy in contrast to the broader decline in cryptocurrency.
🎉 HashKey Holdings Limited is officially listed on the Main Board of HKEX!
As Asia’s first publicly listed digital asset company via an IPO in Hong Kong, this milestone marks the company's entry into a new stage of development and establishes a stronger foundation for its… pic.twitter.com/v22cmEntUX
— HashKey Group (@HashKeyGroup) December 17, 2025
Despite market volatility, the institutional tranche was oversubscribed 5.5 times, showing high participation. Due to strong interest from individual investors, retail demand reached around 394 times oversubscription. The oversubscription during a wider decline indicates that investors are paying attention to more than just short‑term price fluctuations.
Bitcoin fell by as much as 36 percent after reaching record highs above $126,000, reflecting sharp market swings. Other cryptocurrencies also moved lower, creating a challenging environment for crypto‑related listings.
Chairman and CEO Xiao Feng said short‑term volatility does not affect his outlook on digital assets. He noted that clearer rules and compliance frameworks are important for sustainable industry growth. Xiao added that crypto markets move in cycles and the company is focused on long‑term development.
Xiao stated, “My confidence is only growing stronger, and I am more optimistic than 10 years ago because there is more regulation and compliance guidance for us to follow, which will allow the industry to grow further.”
Mainland China banned cryptocurrency trading in 2021, citing risks such as fraud and pyramid schemes. Hong Kong has adopted policies supportive of digital assets to strengthen its role as a financial hub. HashKey operates within this framework, following national rules while using Hong Kong’s regulatory autonomy.
The business is still loss‑making, but it is prioritising cash flow and reinvestment ahead of immediate profits. Like early‑stage digital companies, management is adopting a growth‑first strategy. Instead of focusing on quick profits, the plan aims to establish digital finance infrastructure.
Funds will be directed towards blockchain infrastructure, cybersecurity, and trading platforms. Alliances and regional expansion are also part of the plans. Operations continue to revolve around compliance.
Hong Kong’s Stock Exchange raised over $34 billion this year, its strongest since 2021. Crypto listings such as HashKey’s add diversity to the market. More IPOs are scheduled for December, indicating renewed activity.
Asia’s adoption rate leaves room for expansion. Tokenisation and wealth management could reshape asset ownership. Strong compliance may serve as a competitive strength. Short‑term volatility is expected, but long‑term prospects remain. Investors with patience gain exposure to regulated crypto growth.
Argentina is considering a major policy shift that would allow domestic banks to trade digital assets and offer crypto-related services. The Central Bank of the Argentine Republic (BCRA) is reviewing its current framework, which prohibits banking institutions from participating in digital asset activities, La Nación reported, citing sources familiar with the discussions.
The proposed changes would mark a significant departure from long-standing rules restricting banks from engaging with cryptocurrencies. La Nación’s sources did not disclose specific details or a regulatory timeline, but a senior representative from a major crypto exchange operating in Argentina said that the updated rules could be approved as early as April 2026.
Local exchanges and industry analysts say that opening the door for banks to access cryptocurrencies and offer digital asset products would likely trigger a new era of mainstream adoption in Argentina.
Argentina logged $93.9 billion in cryptocurrency transactions between July 2022 and June 2025, making it the second-largest market in Latin America, only surpassed by Brazil, according to the Block, citing a Chainalysis research from October.
With inflation pressures and a volatile peso continuing to drive demand for digital assets, analysts believe that bank-integrated crypto services could normalise crypto use across savings, payments, and cross-border transactions.
The developments in Argentina come as neighbouring Brazil, the region’s largest crypto market, strengthens its regulatory framework. Brazil fully included the digital asset industry in its financial legislation in 2025, requiring all crypto service providers to seek central bank authorisation in order to conduct business.
As regional governments attempt to strike a balance between innovation and consumer safeguards, analysts speculate that Argentina’s possible action may be an attempt to stay competitive and in line with more general Latin American regulatory tendencies.
Crypto adoption is gaining momentum around the world. In its recently released 2024 Payment and Settlement Report, South Korea’s central bank underlined its commitment to proactively influence regulatory frameworks for the use of cryptocurrency, most specifically stablecoins.
Meanwhile, the United Kingdom recently introduced the Property (Digital Assets etc) Act, which formally classifies cryptocurrencies, stablecoins and tokenised instruments as a new category of personal property. India’s Madras High Court also declared in October that cryptocurrencies are “property” under Indian law, giving their holders the same legal protections as those of owners of material or monetary goods.
In related news, India is moving closer to introducing a central bank-backed digital currency (CBDC), designed to simplify transactions, reduce paper use, and offer faster, traceable payments built on blockchain technology. According to several media reports, Piyush Goyal, the minister of commerce, has announced that India will soon introduce a digital currency that is insured by the Reserve Bank of India (RBI).
India ranked first in cryptocurrency adoption for 2025, according to the sixth Chainalysis Global Crypto Adoption Index. The United States came in second, indicating a rise in activity in both nations. The research showed, market trends are being influenced by institutional investment and grassroots usage. India leads in all measured categories, including retail and institutional flows. The US rise is linked to higher institutional involvement following the approval of spot bitcoin ETFs. Pakistan, Vietnam, and Brazil complete the top five.
India’s cryptocurrency market recorded transactions worth ₹51,000 crore ($6.12 billion) in 2024–25, a 41 percent increase on the previous year. The rise reflects growing use of virtual digital assets amid evolving government policy and institutional activity. India has become one of Asia’s largest crypto markets, driven by younger investors and fintech adoption. Despite high taxation and the absence of formal regulation, digital assets such as Bitcoin, Ethereum and stablecoins are being used as alternative investment options.
As reported by The Hindu, data presented in Parliament reveals the Ministry of Finance collected ₹511.8 crore ($61.42 million) as Tax Deducted at Source (TDS) from cryptocurrency trades. At a 1 percent TDS rate, this equates to ₹51,180 crore ($6.14 billion) in total transactions during FY 2024–25, reflecting higher trading volumes and compliance. India’s 1 percent TDS on crypto transfers, introduced under the Finance Act 2022, was designed to track transactions and ensure proper reporting of gains. Although initially criticised for discouraging activity, the rule has become a key source of data on market size.
India’s cryptocurrency market has recorded steady growth over the past three years, with transactions rising from ₹22,130 crore in 2022–23 to ₹36,270 crore ($4.35 billion) in 2023–24, and further to ₹51,180 crore ($6.14 billion) in 2024–25. This 41 percent year‑on‑year increase means the market has more than doubled in two years, despite ongoing regulatory uncertainty.
The government collected ₹511.8 crore ($61.42 million) in Tax Deducted at Source (TDS) from cryptocurrency transactions in FY 2024–25, the highest amount to date from digital assets. The figure reflects increased reporting of transactions. A 1 percent TDS on Virtual Digital Assets applies to every transaction, regardless of profit or loss. Introduced in 2022 and retained in the 2025 Income Tax Act, the rule ensures oversight of crypto trading. Each sale of crypto in India triggers a 1 percent deduction paid to the government.
The rule initially reduced trading volumes as frequent traders struggled with liquidity. By 2024–25, many had adapted by holding assets longer, using foreign or decentralised exchanges, and structuring transactions to limit taxable events. These adjustments contributed to market recovery and growth.
Income Tax Department surveys on three major crypto exchanges found TDS non‑compliance worth ₹39.8 crore ($4.78 million). The surveys also uncovered undisclosed income of ₹125.79 crore ($15.09 million), pointing to gaps between policy and execution in the crypto sector. Search and seizure operations detected ₹888.82 crore in undisclosed income linked to crypto, highlighting its use in tax evasion and money laundering and prompting closer scrutiny.
The Enforcement Directorate attached or froze crypto assets worth ₹4,189.89 crore ($502.79 million) under the Prevention of Money Laundering Act. It also reported 29 arrests, 22 prosecution complaints and one individual declared a Fugitive Economic Offender, reflecting the scale of financial crime under investigation.
The Central Board of Direct Taxes (CBDT) reported finding nearly ₹889 crore ($106.68 million) in undisclosed income through investigations into virtual digital asset transactions. The figure highlights the challenges of tracking crypto activity and the government’s growing use of data intelligence.
CBDT issued 44,057 notices to taxpayers who did not report crypto holdings or trades in their income tax returns. Authorities are using data‑matching tools to identify unreported investments.
India continues to face hurdles in regulating crypto, including the absence of a clear legal framework, the cross‑border nature of trades and the rapid emergence of new digital assets and decentralised finance models. Analysts expect a more defined framework by 2026, possibly under the Digital India Act, aimed at balancing investor protection with oversight of financial risks.
Opinions on India’s tax policy remain divided. Supporters say TDS enforces accountability, while critics argue it limits innovation and drives activity offshore. All agree that crypto remains a major part of India’s financial landscape.
Binance Holdings Ltd. has received three licences from Abu Dhabi’s Financial Services Regulatory Authority (FSRA). The approvals, announced during Abu Dhabi Finance Week, cover the company’s regulated exchange, clearing infrastructure and broker‑dealer operations. This means Binance is authorised to run a trading platform, manage settlement and custody, and provide off‑exchange services under FSRA oversight.
The Regulated Exchange Licence: This licence permits Binance to operate a trading platform for digital assets in Abu Dhabi. It requires compliance with anti‑money laundering (AML) and know‑your‑customer (KYC) rules.
The Clearing Infrastructure Licence: This licence authorises Binance to manage post‑trade processes, including clearing and settlement. It gives the company responsibility for verifying, recording and storing transactions.
The Broker‑Dealer Licence: This licence allows Binance to act as an intermediary for institutional and retail investors, executing trades and managing portfolios. It provides regulated access to digital assets for financial institutions and individual clients.
Major milestone 🏁#Binance is the first-ever digital assets trading platform to secure a full suite of licenses from FSRA under @ADGlobalMarket.
This marks a breakthrough moment that raises global standards for regulation, security, and trust.
It reflects our commitment to… pic.twitter.com/ItRofJoAOC
— Binance (@binance) December 8, 2025
In March, Binance received a $2 billion investment from MGX, an AI‑focused investment firm chaired by Sheikh Tahnoon bin Zayed Al Nahyan. Sheikh Tahnoon’s involvement reflects Abu Dhabi’s interest in expanding its position in digital assets. The arrangement combines financial backing with technology, linking AI investment and cryptocurrency operations.
The Financial Services Regulatory Authority (FSRA) is the supervisory body of the Abu Dhabi Global Market (ADGM). It sets and enforces regulatory standards for financial institutions operating within its jurisdiction. FSRA places emphasis on investor protection, market integrity and transparency. Its crypto framework requires strict compliance, meaning Binance had to meet specific benchmarks before approval. Approval from FSRA indicates that Binance has met regulatory requirements, strengthening its position within the global market.
After past controversies, Binance has shifted its focus to transparency and regulation, aiming to balance compliance with growth. Co‑CEO Richard Teng, formerly with ADGM, suggested the UAE could become Binance’s global headquarters, reflecting the country’s regulatory stance on digital assets.
Teng commented, “Achieving regulatory status through ADGM’s respected framework reflects our deep commitment to compliance, transparency and user protection. ADGM is one of the most respected financial regulators globally, and holding an FSRA licence under their gold standard framework shows that Binance meets the highest international standards for compliance, governance, risk management and consumer protection.”
Abu Dhabi’s leadership is positioning the UAE as a centre for regulated crypto activity. The UAE’s approach may influence other regulators to adopt similar frameworks, supporting a more consistent global market. Approval from FSRA indicates Binance has met compliance standards. It strengthens institutional confidence and may encourage larger investors to return to the market.
Founder Changpeng Zhao (CZ) stepped down following legal challenges in the U.S., where Binance agreed to pay $4.3 billion to settle investigations. Under Richard Teng, Binance is working to rebuild its image as a compliant and transparent exchange.
The Abu Dhabi Investment Council (ADIC), part of Mubadala Investment Co., has expanded its stake in BlackRock’s iShares Bitcoin Trust ETF to nearly 8 million shares, valued at over $518 million. This reflects a long‑term commitment to digital assets. The new licences are intended to strengthen trust, transparency and regulatory oversight in the sector. They position Binance to operate within a more structured framework after recent regulatory challenges.