Coinbase has reopened app registrations in India after a two-year pause, marking a careful but deliberate return to one of the world’s most active crypto markets.
Cautious return after a full exit
The company’s re-entry follows a complete withdrawal from India in 2023, when it offboarded millions of users and shut down local operations.
Coinbase’s earlier attempt to launch in 2022 collapsed within days after the National Payments Corporation of India distanced itself from the firm’s use of the Unified Payments Interface. That was a serious blow to the company, and it chose to leave entirely rather than operate in a grey zone.
That decision, described by Asia-Pacific director John O’Loghlen as commercially painful, was aimed at creating a clean regulatory slate.
Coinbase then spent much of 2024 working directly with India’s Financial Intelligence Unit, which oversees financial integrity and anti-fraud standards. This engagement ended in formal registration earlier this year, opening the door for a structured return.
Crypto trading resumes as fiat support waits
The exchange tested its new systems quietly through an early-access program launched in October.
The testing phase helped Coinbase ensure its onboarding process matched local expectations and regulatory rules before widening access to the general public.
With the app now open again, Indian users can trade using crypto-to-crypto pairs.
However, the bigger milestone will arrive in 2026, when the exchange plans to enable users to load rupees and purchase digital assets directly.
The company’s earlier inability to offer rupee deposits was a major block to broader adoption, and the new plan marks a shift toward restoring full functionality.
Regulatory headwinds still remain
Coinbase is returning at a time when India’s regulatory landscape remains difficult for crypto platforms.
The tax regime is among the most demanding globally, with a 30% levy on profits and a mandatory 1% deduction on every trade. Traders cannot offset losses, which has pushed much of India’s crypto activity to offshore platforms.
Authorities say the rules have generated hundreds of millions of dollars in revenue, even as trading patterns have shifted.
Despite this burden, Coinbase believes long-term potential outweighs short-term challenges. O’Loghlen said the company hopes the government will eventually ease some of the tax pressures that restrict domestic participation.
However, officials have signaled caution, noting concerns about financial stability and the risk of formal recognition driving wider adoption.
Coinbase is expanding its local presence in India
Notably, Coinbase’s renewed push in India extends beyond its app. The crypto exchange, which posted a strong Q3, 2025, has increased its investment in CoinDCX, India’s largest crypto exchange, which is valued at $2.45 billion. It is also scaling its workforce of more than 500 employees, with new roles supporting both domestic operations and global projects.
The exchange has also built ties with policymakers. Coinbase executives have met with state leaders including Karnataka’s IT minister, signing an agreement to deepen collaboration on blockchain innovation and cybersecurity. These engagements reflect the company’s view of India as not only a major market but also a base for operations across South Asia and the Middle East.