India Tightens KYC Rules for Crypto Users, Mandates Updates Every 6 Months
Written by Ohris M. Greyoon, Blockchain & Crypto Expert
Source: Coinmarketcap
Updated: Jan 12 2026- KYC Regulation Implementation: India's Financial Intelligence Unit mandates live selfie KYC with geolocation and IP tracking for all new crypto users, aiming to enhance identity verification security in response to significant security incidents.
- High-Risk User Management: The new guidelines require high-risk clients to update their KYC every six months and other users annually, which will increase compliance costs and potentially impact the operational efficiency of crypto exchanges.
- Crackdown on Privacy Tools: The FIU strongly opposes privacy coins and ICOs, requiring registered entities to implement controls to prevent transactions involving these high-risk tools, which may limit market innovation and investment attractiveness.
- Increased Market Regulation: Since 2023, the FIU has steadily pushed for mandatory registration and compliance for all crypto exchanges, and while the market potential is vast, stringent regulatory policies may stifle industry growth.
About the author
Ohris M. Greyoon
Ohris M. Greyoon holds a Master’s in Computer Science from MIT and has 10 years of experience in blockchain technology and cryptocurrency markets. A pioneer in decentralized finance (DeFi) analysis, he leads Intellectia’s Crypto News, offering cutting-edge insights into digital assets.
