Is Binance Legal in India 2026?
Binance is FIU-IND registered (paid ₹18 crore penalty in mid-2024 to clear past non-compliance, then granted Virtual Digital Asset Service Provider registration). 1% TDS auto-deducted, all features active.
India regulatory framework
FIU-IND (under PMLA) registers VDA service providers; 49 exchanges registered as of FY 2024-25. RBI is cautious but legally cannot ban P2P trading.
Tax: Flat 30% on gains under Section 115BBH + 4% cess (effective 31.2%); 1% TDS on every transfer under Section 194S above ₹50,000/year. No loss offset, no indexation.
Binance on the India market
Binance P2P is the world's deepest P2P book — liquidity covers 60+ fiats with the largest merchant pool in crypto. Their merchant-tier scheme rewards completion rate, order count, and dispute-free history; the result is tight spreads and fast settlement on majors (INR, USD, RUB, TRY, NGN). Maker fees are 0% for verified merchants; takers pay 0% on most markets. KYC is mandatory; FIU-IND registered in India.
Fees + KYC: 0% maker fee for verified merchants; 0% taker fee on most markets. KYC required (Lite + Full tiers). FIU-IND registered (India), VARA registered (UAE), MiCA-compliant (EU).
Cheapest BUY + highest SELL across Binance's INR P2P book.
Compare Binance against 8 other P2P exchanges for the INR market.
Frequently asked questions
Is Binance legal in India in 2026?+
Yes — legal. Binance is FIU-IND registered (paid ₹18 crore penalty in mid-2024 to clear past non-compliance, then granted Virtual Digital Asset Service Provider registration). 1% TDS auto-deducted, all features active.
Is Binance FIU-IND registered?+
Yes. Binance is registered with FIU-IND (Financial Intelligence Unit India) under the Prevention of Money Laundering Act (PMLA). 49 crypto exchanges were FIU-IND registered as of FY 2024-25 — Binance is one of them. Registration means the exchange must perform KYC, monitor transactions, and file Suspicious Transaction Reports (STRs).
Do I need to pay tax on Binance trades in India?+
Yes. Flat 30% on gains under Section 115BBH + 4% cess (effective 31.2%); 1% TDS on every transfer under Section 194S above ₹50,000/year. No loss offset, no indexation. Binance as an FIU-IND registered exchange auto-deducts the 1% TDS at trade time on USDT/INR P2P trades.
Is Binance banned in India?+
No. Binance operates legally in India. Binance is FIU-IND registered (paid ₹18 crore penalty in mid-2024 to clear past non-compliance, then granted Virtual Digital Asset Service Provider registration). 1% TDS auto-deducted, all features active.
What KYC does Binance require for India users?+
Standard FIU-IND-aligned KYC: government ID (PAN + Aadhaar in India), selfie verification, and proof of address for higher trading tiers. 0% maker fee for verified merchants; 0% taker fee on most markets. KYC required (Lite + Full tiers). FIU-IND registered (India), VARA registered (UAE), MiCA-compliant (EU).
Is USDT/INR P2P trading legal in India?+
Yes. The Supreme Court struck down RBI's banking-channel ban in March 2020 (IAMAI vs RBI). No statute since has criminalised crypto trading. Exchanges must register with FIU-IND under PMLA — 49 exchanges did so in FY 2024-25.