- Bybit regains full access in India after meeting regulatory standards and resuming trade.
- New user onboarding begins as Bybit secures registration with Indian authorities.
- Bybit reaffirms its commitment to secure and compliant crypto trading in India post-hack.
The cryptocurrency exchange Bybit received Indian authority approval to operate nationwide and restored its full services to users beginning on February 25, 2025. This development represents a major milestone for the cryptocurrency exchange that had encountered recent regulatory barriers. Existing users can open new trades and access all Bybit products through their accounts and the exchange will progressively onboard new users to its platform.
The registration follows a period of suspension that began in January 2025, when the exchange halted several services due to compliance issues. On January, India’s Financial Intelligence Unit (FIU) fined the exchange 9.27 crore rupees ($1.06 million) for operating without proper authorization under the Prevention of Money Laundering Act (PMLA). Bybit’s efforts to align with local regulations have now paid off, allowing it to resume operations fully.
Recent Security Breach Overshadows Recovery
The return of Bybit to India took place only days after a massive security attack struck the exchange. The exchange’s Ethereum cold wallet suffered the biggest crypto theft, with hackers stealing $1.5 billion worth of Ether-related tokens on February 21, 2025. Research from blockchain experts identified North Korea’s Lazarus Group as the perpetrator behind the cryptographic attack on cryptocurrency platforms.
The breach exposed vulnerabilities in the exchange’s multi-signature security protocols, which hackers bypassed using sophisticated phishing tactics and insider information. Despite the setback, Bybit CEO Ben Zhou confirmed on February 22 that the exchange stabilized withdrawals and maintained reserves exceeding liabilities. The incident has raised concerns about centralized exchange security, but the exchange’s swift response has reassured some users.
India’s Crypto Market Heats Up Amid Competition
Bybit’s reentry into India aligns with growing competition in the cryptocurrency market. Major exchanges like Binance compete for dominance as trading volumes rise and adoption increases. Despite ongoing regulatory scrutiny from authorities aiming to curb illicit activities in the sector, India remains a critical region for crypto firms.
The FIU requirements compliance from the exchange represents a general pattern where crypto platforms respond to India’s developing legal structure. The platform Bybit identifies India as a fundamental expansion marketplace while it operates across 1,174 worldwide markets with more than 60 million users. The company expressed appreciation toward all Indian users for their patience throughout the systems outage while reconfirming its dedication to deliver a safe trading platform.