India’s Crypto Regulatory Landscape Evolves in 2025 Amid Rapid Adoption

India’s cryptocurrency market continues to operate in a regulatory grey area in 2025, with Bitcoin and other digital assets remaining unrecognized as legal tender. Despite this, over 107 million Indians now participate in the crypto ecosystem, prompting authorities to refine tax and compliance frameworks.

The Financial Stability Board (FSB) peer review looms as a key milestone for October 2025, with Indian regulators working to align local policies with global standards. SEBI has begun monitoring security-like crypto tokens since April, proposing a multi-agency oversight model involving the Reserve Bank of India and Finance Ministry.

February saw the introduction of a VIRTUAL Digital Assets Income Tax Amendment Bill, signaling broader regulatory scrutiny. While no specific coins or exchanges are mentioned in this update, the evolving landscape suggests growing institutional engagement with the asset class.