10 months ago
Crypto Laundering: 27 Exchanges Flagged, Rs 600 Crore Laundered in 21 Months
Some Indian crypto exchanges might have been used to launder money, with over 2,800 people losing around Rs 600 crore in 21 months.
The government is investigating, and exchanges deny wrongdoing, saying they follow strict security protocols and are compliant with regulations.
27 crypto exchanges identified as conduits for laundering Rs 623.63 crore
Over 2,872 victims affected in 21 months (Jan 2024 - Sep 2025)
Coin DCX, WazirX, Giottus, ZebPay, Mudrex, and CoinSwitch among flagged exchanges
Exchanges deny involvement, emphasize compliance measures
Govt probes 'crypto mules' and VASP compliance failures
- Who
- 27 crypto exchanges and over 2,872 victims
- What
- Laundered money through crypto exchanges
- Where
- India
- When
- January 2024 - September 2025
- Why
- To convert illegal funds into cryptocurrency and layer through multiple wallets
Government's Stance
Crypto Exchanges' Stance
Use of Exchanges for Laundering
Government's Stance
Government flags 27 exchanges as conduits for laundering Rs 623.63 crore
Crypto Exchanges' Stance
Exchanges deny involvement, emphasize compliance measures
VASP Compliance Failures
Government's Stance
Government probes 'crypto mules' and VASP compliance failures
Crypto Exchanges' Stance
Exchanges argue that they are not parties to any transaction beyond facilitating lawful trade
Key facts
- Total Exchanges Flagged
- 27
- Total Victims
- 2,872
- Total Laundered Amount
- Rs 623.63 crore
- Time Period
- 21 months (Jan 2024 - Sep 2025)
- Primary Investigation Agency
- Ministry of Home Affairs (MHA)
Quotes
Sam Bankman-Fried
Founder of FTX, a cryptocurrency exchange
“I understand that India is no longer going to be buying oil from Russia. That is a good step.”
indianexpress.com
Changpeng Zhao
Founder of Binance, the world’s largest crypto exchange
“I pleaded guilty to violating US anti-money laundering laws.”
indianexpress.com
Sources
The Coin Laundry | 27 crypto exchanges in Govt crosshairs: Over 2800 victims, Rs 600 crore laundered in 21 months
The Coin Laundry | Major Indian crypto platforms claim full compliance, walk trust fault lines
As dirty money flows through crypto markets, raise the guardrails
The Coin Laundry | Hall of shame: Haldwani man in US net, Haryana businessman who stole $37 mn
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