India is aiming to create a comprehensive global database of all crypto exchanges, including those operating on the dark web, to improve its capacity for detecting cryptocurrency-related crimes.
By the end of the current fiscal year, the launch of the database is projected to occur. The global database of cryptocurrency exchanges is anticipated to play a crucial role in providing essential information on cryptocurrency assets.
The crypto exchange database will help law enforcement agencies, including the Enforcement Directorate (ED), the Income Tax Department, and the Central Bureau of Investigation (CBI), to enhance their ability to track and monitor the use of cryptocurrencies in illicit activities, such as money laundering.
The Organisation for Economic Co-operation and Development (OECD) recently unveiled the Crypto-Asset Reporting Framework (CARF) to gather information on cryptocurrency transactions’ tax implications.
Financial Intelligence Unit (FIU) officials have revealed that India is aggressively looking for other countries’ help to obtain more information on exchanges. The FIU claims that cryptocurrency transactions involving drugs totaled over Rs 28,000 crore ($3.3 billion) between 2019 and 2021.