Coinbase, America’s leading cryptocurrency exchange, is returning to India after receiving crucial regulatory approval. This marks a significant softening of India’s previously strict stance on digital currencies, possibly influenced by President Trump’s past endorsement of crypto assets.

Coinbase on Tuesday said it had been given permission to register with India’s Financial Intelligence Unit, an anti-money laundering watchdog, and planned to start offering retail services later this year before branching out into “investment and products” in the world’s most populous nation.

Additionally, other major crypto exchanges, including Binance, have also recently registered with the FIU, after an Indian crackdown on offshore platforms allegedly violating local rules. John O’Loghlen, managing director for Asia-Pacific at Coinbase, said: “India represents one of the most exciting market opportunities in the world today.

Coinbase Gains India Grounds

The move back into India marks a turnaround for Coinbase, which halted local operations in 2022 after what chief executive Brian Armstrong described as “informal pressure” from a central bank that has vehemently opposed the adoption of cryptocurrencies.

Following a US market regulator’s dismissal of a significant lawsuit against Coinbase for purported securities law violations, a decision interpreted as signaling a more crypto-friendly stance, this development also arrives weeks later.

In 2018, the Reserve Bank of India ordered the country’s lenders to stop working with the crypto industry. Although India’s Supreme Court overturned the directive in 2020, the central bank has consistently discouraged the use of digital assets, expressing concerns about widespread adoption and citing potential negative consequences for economic and financial stability in December.

US-India Business Relations Deepens

India’s transformation into a global technology powerhouse is evident in its vibrant startup ecosystem and rapid technological development.

The country has emerged as a key on-chain hub, with its share of global developers increasing significantly over recent years. As a result, India now stands out among emerging markets, attracting interest from major players in the Web3 space.

In addition to the FIU registration, Coinbase has reinforced its commitment to the Indian market. Coinbase’s Chief Legal Officer, Paul Grewal’s, recent appointment to the U.S.-India Business Council (USIBC) board highlights the company’s commitment to strengthening U.S.-India commercial relationships.