India bans trading of privacy coins and requires crypto platforms to delist anonymous tokens

According to The Economic Times, the Financial Intelligence Unit (FIU) under the Indian Ministry of Finance has requested domestic cryptocurrency exchanges and platforms to stop offering anonymous enhanced cryptocurrencies (ACE), prohibiting the deposit or withdrawal of related tokens, and categorizing them as "unacceptable assets" under the risk mitigation framework.

The FIU also warned that using tools like "tumblers" and "mixers" to mix coins, as well as transferring to self-custody wallets, could allow funds from sanctioned or blacklisted addresses to flow into the system, making them difficult to trace. Platforms are required to collect data related to non-custodial wallets and assess whether to set limits on such transfers.