Coinbase has formally relaunched its services in India, allowing users to trade cryptocurrencies directly using Indian rupees in a significant expansion into one of the world’s largest and fastest-growing digital asset markets.
The US-listed cryptocurrency exchange said Indian customers can now deposit and withdraw funds directly through the Immediate Payment Service, or IMPS, removing the need for peer-to-peer workarounds and third-party intermediaries that have long complicated crypto trading in the country.
Coinbase’s return marks a notable shift from its troubled first attempt to enter India a couple of years ago, when regulatory concerns forced it to suspend key payment services shortly after launch. The company has now secured registration with India’s Financial Intelligence Unit and says it complies with local anti-money laundering requirements.
Alongside direct rupee transfers, Coinbase is offering spot trading across a range of digital assets, perpetual futures contracts linked to major cryptocurrencies and local INR order books designed to improve liquidity for Indian users.
The move highlights the growing importance of India to the global crypto industry. Despite a challenging regulatory environment and a 30% tax on crypto trading gains, India has emerged as a major centre for blockchain developers and digital asset adoption. Coinbase said the country represents one of its most strategically important international markets.
Competition in the sector has intensified as global exchanges seek access to India’s large retail investor base. Coinbase’s introduction of direct rupee rails could give it an advantage over rivals that continue to rely on more complex funding methods.
Indian crypto investment scene
Regulatory uncertainty: The Indian government remains cautious about integrating crypto into the mainstream financial system, citing systemic risks that are difficult to control.
Central bank warnings: The Reserve Bank of India has repeatedly warned that regulating cryptocurrencies fully is challenging, leaving investors exposed.
Extreme volatility: Crypto assets are highly volatile, with unpredictable price swings that can lead to sudden and significant losses.
Fraud and scams: Investors face risks of fraud, scams, and hacking, which can result in irreversible financial losses.
Unregulated platforms: Many platforms lack proper safeguards for funds and data protection, and claims of registration may not mean compliance with official authorities.
Coinbase's re-launch also reflects broader efforts by international crypto companies to rebuild trust with regulators and integrate more closely with domestic financial systems as digital assets move further into the mainstream.
