In a fresh bid, India’s finance ministry put fresh weight behind its call for coordinated global rules on digital assets. It also revealed that authorities have uncovered more than ₹4,190 crore ($465 million) in crypto-linked crimes in recent years. Indian Finance Minister Nirmala Sitharaman stated that the country cannot effectively police an industry that is “inherently borderless.” This comes in when the global crypto market is in the midst of a recovery run after witnessing heavy selling pressure. Bitcoin managed to regain around 7% in the last 7 days, yet it is still down by more than 10% over the past 30 days. India identifies $99M in unreported crypto income In a Lok Sabha session , Sitharaman mentioned that any regulatory framework for crypto assets can be effective only with international collaboration. This comes in line with the government’s long-standing stance on crypto assets. India sees crypto assets with a different trajectory. It does not treat cryptocurrencies as legal tender but allows their purchase, sale, and holding as Virtual Digital Assets (VDAs) under a strict tax regime. Gains are taxed at a flat 30% plus cess, while a 1% TDS applies on most transactions. These rules have eventually pushed trading activity offshore. During the session, Sitharaman also disclosed that tax officials had identified ₹888.82 crore (approximately $99 million) in unreported cryptocurrency income during search and seizure operations. The Enforcement Directorate has attached or seized ₹4,189.89 crore (approximately $466 million) under the Prevention of Money Laundering Act (PMLA). However, the authorities have also arrested 29 individuals and filed 22 prosecution complaints. BREAKING: 🇮🇳 Govt identified 3 crypto exchanges not following TDS rules for Indian users and uncovered: • TDS non-compliance: ₹39.8 Cr • Undisclosed income: ₹125.79 Cr • Additional search & seizure haul: ₹888.82 Cr Source: Ministry of Finance — Crypto India (@CryptooIndia) December 8, 2025 She added that the government’s data-driven NUDGE campaign has also flagged compliance gaps. More than 44,000 notices were sent to taxpayers who traded or invested in VDAs but failed to disclose them in the dedicated tax schedule. Coinbase reopens in India Officials have hinted that the regulatory vacuum is now becoming a financial-stability concern. The Reserve Bank of India (RBI) has been warning that crypto cannot be “effectively regulated” without global guardrails. The renewed scrutiny comes as India’s crypto market shows signs of revival despite heavy taxation. The global crypto market cap surged by 2.5% over the last 24 hours. Bitcoin price managed to trade above $92,000 but saw a dip back to $91,500 zone. Meanwhile, the Fear and Greed index is still flashing “Fear” among the investors. Adding to the momentum, Coinbase reopened registrations in India this week. The crypto exchange was forced to wind down its operations in 2023 after UPI roadblocks. However, it is now allowing crypto-to-crypto trades and plans to restore fiat on-ramps in 2026. It is waiting to secure approval from the Financial Intelligence Unit. Join Bybit now and claim a $50 bonus in minutes
