OKX Halts Operations in India, Urges Users to Withdraw Funds Promptly

OKX Halts Operations in India, Urges Users to Withdraw Funds Promptly

OKX, a major cryptocurrency exchange, has announced its decision to cease operations in India citing local regulations as the reason behind this move. In a notice sent to its users on Thursday, the exchange urged all users to withdraw their funds from the platform by the end of April. Additionally, OKX instructed users to close all margin positions, as well as positions in perpetuals, futures, and options, and redeem all funds from Grow products by the specified deadline.

The announcement from OKX follows recent actions by Apple and Google, who removed several cryptocurrency apps from their respective app stores. India’s Financial Intelligence Unit (FIU) had flagged these crypto exchanges as operating illegally within the country. In December of the previous year, the FIU issued compliance Show Cause Notices to nine offshore crypto service providers, indicating regulatory scrutiny in the sector.

It’s noteworthy that OKX was not among the crypto exchanges that registered with the FIU. India currently lacks specific regulations governing cryptocurrencies, with Finance Minister Nirmala Sitharaman stating that crypto assets cannot be considered currencies, which is why they remain unregulated in the country. At the G20 meeting hosted by India, the country advocated for a global framework for regulating cryptocurrencies, emphasizing the challenges that could arise if only one or two countries were to regulate them.

OKX, boasting over 50 million global users, had India as one of its main markets. However, with the regulatory landscape becoming increasingly uncertain, the exchange has opted to discontinue its services in the country, requiring users to withdraw their funds before the specified deadline.

 

 

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