Crypto exchange Bybit will begin applying an 18% Goods and Services Tax (GST) to a range of its services in India starting July 7, 2025. The change comes as the platform moves to comply with India’s tax rules for virtual digital assets.
The tax won’t just apply to trading fees; it covers almost every chargeable service. This includes spot and margin trading, derivatives, fiat-related transactions, withdrawals, and even staking. Spread and conversion fees will also be taxed. In short, most actions on the platform will now carry an added tax component, increasing the overall cost for Indian users.
Let’s say a user sells 1 BTC at 100,000 USDT with a 0.1% fee. The fee would be 100 USDT. GST? Another 18 USDT. Final amount received: 99,882 USDT.
That pattern will now apply across the board.
What Gets Taxed?
- Spot, Margin, and Derivatives Trading: GST on fees and order costs. Margins will reflect it, too.
- Fiat Transactions: Buying crypto via bank or card? GST is charged on the spread.
- Withdrawals: Even recovering wrong deposits (missing memo/tag)? You’ll pay GST on the withdrawal fee.
- Staking/Earn Products: Service fee gets taxed.
- Bybit Pay & OTC: Spread-based GST. No exceptions.
Users will see GST amounts clearly listed in their transaction breakdowns. It’s automatic. No manual entry or selection.
What’s Going Away?
Some products will no longer be available for Indian users starting July 9, 2025, at 8:00 UTC. That includes:
- Legacy Crypto Loans: Users have until July 17 to clear their dues. After that, any pending loan will be automatically repaid using available funds.
- Bybit Card: New card applications will be blocked starting July 9. Existing cards will stop working from July 17 and will be fully deactivated.
- All Trading Bots: Spot Grid, DCA, Futures Grid, Martingale, Combo — all will be shut down on July 9.
This isn’t a partial rollout. These changes affect every Indian resident using Bybit, no matter the account type or balance.
The move is clearly aimed at keeping the platform in line with India’s tightening stance on crypto taxation, where both TDS and now GST are mandatory on most crypto-related services.
For users, it’s another reminder that trading in India isn’t tax-free anymore. Not even close.
Also Read: CoinSwitch Unveils 1 Lakh Web3 Tokens for INR Trading
