Google Play Store blocked access to Binance in India

The Google Play Store in India recently excluded apps from cryptocurrency exchanges Binance and OKX. The move followed a notice of non-compliance issued by the Indian government, marking a stricter regulatory trend in the country towards cryptocurrencies.

On December 28, 2023, the Financial Intelligence Unit (FIU) of the Indian Ministry of Finance notified several cryptocurrency exchanges, including Binance, Huobi and Kraken, for illegal transactions in the country. This notice required any exchange serving Indian users to register as a “reporting entity” and file returns with the tax department.

In response to this breach, the FIU proposed to the Ministry of Electronics and Information Technology to block the websites of the affected exchanges. Meanwhile, the Google Play store blocked Binance and OKX, although Binance’s operations remain available through its app and website to existing users.

Binance South Asia, via a post on X (formerly known as Twitter), confirmed its knowledge of the ban in India, assuring users the security of their accounts and funds.

This situation intensified after India implemented a 30% tax on cryptocurrencies, as well as a 1% withholding tax deduction for each cryptocurrency transaction, causing a decrease in the volume of transactions on local exchanges and an exodus of users to international platforms.

India’s Finance Bill, passed in March 2022, brought significant changes to the tax regulations for cryptocurrencies, including a 30% tax on the holding and transfer of cryptocurrencies. These regulations, considered strict by many, have transformed the cryptocurrency landscape in India, affecting both local and international exchanges.

K. Tovar

Source: The Economic Times

(Reference image source: Pathum Danthanarayana, Unsplash)