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Cryptocurrency Storage Provider Liminal Custody Secures Financial Intelligence Unit Registration in India, Strengthening Institutional Trust in Web3
Liminal Custody, a leading provider of virtual asset storage and wallet services, has announced the official registration of its Indian entity, First Answer India Technologies Private Limited, with the country’s Financial Intelligence Unit (FIU). This move places Liminal Custody among a select group of Web3 companies operating in accordance with India’s stringent regulatory framework for the cryptocurrency and Web3 industry, joining industry giants such as Binance, KuCoin, and WazirX.
India has mandated FIU registration for Web3 companies as a crucial step towards strengthening security and transparency in the often volatile and vulnerable cryptocurrency landscape. The FIU plays a vital role in fighting financial crime by receiving, processing and analyzing suspicious financial transactions and sharing this information with international counterparts.
“FIU registration significantly enhances our ability to serve institutional clients across India, providing them with the peace of mind and regulatory compliance they deserve,” said Manhar Garegrat, Country Head, India and Global Partnerships at Liminal Custody.
In recent months, Indian financial authorities have stepped up their crackdown on fintech operators, including those operating in the cryptocurrency sector, to mitigate financial risks to the country’s system and citizens. Several cryptocurrency firms faced operational restrictions earlier this year for failing to register with the FIU, including major international exchanges such as OKX and Binance.
Since then, several domestic and foreign crypto players have successfully passed the regulatory requirements, securing their FIU registrations. Binance and KuCoin gained their recognition between January and May, joining Indian exchanges CoinSwitch, WazirX, and CoinDCX.
With its FIU registration, Liminal Custody aims to position itself as a trusted crypto wallet partner for key institutions, such as the Central Bureau of Investigation (CBI). The company already claims to provide storage for crypto assets seized during CBI investigations.