Coinbase Launches Direct INR Deposits and Withdrawals for Indian Users

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• Coinbase has launched direct INR deposits and withdrawals for Indian retail users through IMPS bank transfers.
• The feature enables direct bank account funding, reducing reliance on peer-to-peer (P2P) payment methods.
• Eligible users can access spot crypto trading and perpetual futures markets using INR-funded accounts.
• The launch marks Coinbase’s latest expansion push in India despite ongoing regulatory and tax challenges.

Coinbase Expands INR Banking Access in India

Cryptocurrency exchange Coinbase has introduced direct Indian rupee (INR) deposits and withdrawals for retail users in India, marking a significant expansion of its services in one of the world’s largest cryptocurrency markets by adoption.

The move allows eligible users to transfer funds between their bank accounts and Coinbase through the Immediate Payment Service (IMPS), providing a direct banking channel for funding and withdrawing from cryptocurrency accounts. The launch reduces dependence on peer-to-peer (P2P) transfer methods that have been widely used by Indian traders in recent years.

According to Coinbase, users will be able to access spot cryptocurrency trading and perpetual futures markets using INR-denominated funding. The company also said that INR deposits will not incur additional Coinbase platform fees. Coinbase Advanced users will have access to features such as API connectivity, WebSocket support, and TradingView integration.

Renewed Push Into India

The launch represents Coinbase’s latest effort to strengthen its presence in India after facing operational challenges in the market in previous years. The company has maintained ties to the country’s cryptocurrency ecosystem through investments, including backing Indian exchange CoinDCX, and through the promotion of its Base Ethereum Layer-2 network among developers.

Coinbase said thousands of developers in India have built applications on Base, contributing to a growing ecosystem of blockchain-focused startups. The company did not provide independently verified figures for developer activity.

Recently, Coinbase announced plans to launch AI, China, Aerospace & Defense, and Innovation perpetual-style equity index futures through Coinbase Derivatives, expanding access to thematic investment markets. Separately, Coinbase CEO Brian Armstrong highlighted the potential of blockchain technology, tokenization, stablecoins, and AI to modernize global financial infrastructure, improve efficiency, and broaden access to financial services worldwide.

The exchange is registered with India’s Financial Intelligence Unit (FIU-IND), a requirement for virtual digital asset service providers operating in the country.

Operating Amid Regulatory Uncertainty

The expansion comes as India’s cryptocurrency industry continues to navigate a complex regulatory environment. The country currently imposes a 30% tax on gains from virtual digital assets and a 1% Tax Deducted at Source (TDS) on certain cryptocurrency transactions.

While cryptocurrency trading remains legal, India has yet to introduce a comprehensive licensing framework for cryptocurrency exchanges. Market participants continue to operate under a combination of tax rules, anti-money laundering requirements, and evolving regulatory guidance.

Industry analysts say direct banking integration could improve accessibility for users by offering a regulated method of moving funds into and out of cryptocurrency platforms, while reducing reliance on informal funding channels.

Coinbase enters a competitive market that includes domestic platforms such as CoinDCX, WazirX, and Mudrex, alongside several international exchanges serving Indian users.

India Remains a Key Crypto Market

India has consistently ranked among the world’s leading countries for cryptocurrency adoption, according to blockchain analytics firms tracking global digital asset activity. The country’s large retail investor base and expanding developer community have made it a strategic market for both domestic and international cryptocurrency companies.

Market researchers continue to project long-term growth for India’s digital asset sector, although future expansion remains closely tied to regulatory developments, taxation policies, investor participation, and broader market conditions.

Outlook

Coinbase’s latest launch underscores the continued interest of global cryptocurrency firms in India’s digital asset market despite regulatory uncertainty. The availability of direct INR deposits and withdrawals may help lower barriers to entry for new users and provide existing traders with a more streamlined funding experience.

Whether the expansion translates into significant market share gains for Coinbase will likely depend on regulatory developments, user adoption, and competition from established domestic platforms.

Source: Coinbase