Crypto Regulations India: What’s Legal, What’s Blocked, and How Indians Are Still Trading

When it comes to crypto regulations India, the legal framework governing cryptocurrency use, trading, and taxation within India. Also known as Indian cryptocurrency law, it’s a mix of bans, taxes, and loopholes that change faster than most people can keep up. The Reserve Bank of India once tried to shut down crypto banks in 2018. The Supreme Court overturned that in 2020. Then came the 30% tax in 2022. Now, the government is quietly pushing for a digital rupee while ignoring how millions are still buying Bitcoin on P2P apps.

What you hear on TV isn’t what’s happening on the ground. Over 15 million Indians trade crypto regularly—not because they’re breaking the law, but because the rules are vague enough to let them slip through. You can’t buy crypto with a bank transfer? No problem. Use UPI to pay a seller on Binance P2P. You’re taxed 30% on gains? Fine. But there’s no reporting requirement, so most don’t file. The government wants control, but enforcement is patchy. Meanwhile, crypto tax India, the 30% flat tax on crypto profits plus 1% TDS on trades introduced in 2022. Also known as Indian crypto income tax, it’s the only clear rule in a sea of gray areas. And it’s not even applied consistently—some exchanges auto-deduct it, others don’t. Then there’s Bitcoin India, the most widely held digital asset in the country, used for remittances, savings, and bypassing inflation. Also known as BTC in India, it’s the de facto currency for freelancers, traders, and families sending money abroad. Even though the RBI warns against it, Indian banks still process millions in UPI payments tied to crypto trades every day.

And here’s the real story: cryptocurrency ban India, a myth often repeated by media, but never officially enacted. Also known as crypto prohibition India, it’s not a law—it’s a scare tactic. No law says you can’t own crypto. You can’t use banks to buy it easily? Correct. But you can buy it with cash, mobile wallets, or peer-to-peer deals. That’s why 2024 saw record P2P volumes in India. People aren’t ignoring the rules—they’re working around them. The posts below show you exactly how: from how traders avoid TDS traps, to why some exchanges still operate legally in India, to the real cost of holding crypto here in 2025. You’ll see real examples of people navigating this mess—not theory, not headlines. Just what’s working, what’s risky, and what’s a total scam.