JAKARTA - India's financial intelligence unit (FIU-IND) is investigating suspicious activities involving the global crypto platform Binance.
This step was taken after the discovery of alleged flow of funds from Pakistan to India through a personal crypto wallet, allegedly used for financing terrorism and other illegal activities.
Two senior officials who spoke to Moneycontrol said that FIU is currently collecting data from Binance to track accounts that receive crypto assets from Pakistan, particularly in border areas such as Jammu & Juli.
"Binance has been working together in this process, mainly due to the increasing crypto transactions between Indian and Pakistani border areas in recent months," said one official.
Unlike a custodial wallet involving third parties, private crypto wallets give users full control over their private keys and are often a difficult route for cross-border crypto transactions.
"We suspect some of these transactions are related to terrorism financing. Investigations are ongoing," he added.
SEE ALSO:
FIU, as India's financial transaction supervisory agency, is known to actively share findings with law enforcement agencies such as the Directorate of Enforcement, the National Investigation Agency (NIA), and the Central Bureau of Investigation (CBI).
In August 2024, Binance was officially registered with FIU-IND to comply with local regulations, especially anti-money laundering (AML) rules.
Previously, FIU was also rumored to have cracked down on several global crypto exchanges, including Binance, for operating in India without following local law.
The English, Chinese, Japanese, Arabic, and French versions are automatically generated by the AI. So there may still be inaccuracies in translating, please always see Indonesian as our main language. (system supported by DigitalSiber.id)
